10 November 2020
We have recently become aware that the reduction in the company tax rate was not applied correctly from 1 July 2020 for companies that are base rate entities with an aggregated turnover of less than $50 million.
This resulted in pay as you go (PAYG) instalments being calculated using the former rate of 27.5% and not the correct 26%.
We have now corrected this error and will issue you with a new PAYG instalment letter reflecting your updated instalment rate or amount. We apologise for any inconvenience caused.
If you have lodged your activity statements and paid an amount based on the incorrect instalment calculation, we will refund the overpaid amount shortly. There is no further action required from you.
If you have varied your instalment amount or rate, you will not be impacted by these changes.
When you lodge:
If you have an amount payable, we have a range of options available to support you, including the ability to enter into a payment plan.
All future activity statements will have the correct rate applied.
If you have varied your instalment rate or amount, the variation will continue until the start of the next income year. You can continue to vary your activity statements if your rate or amount does not reflect your current trading situation.
Remember, your tax or BAS agent can help you with your tax.
Find out about:
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