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  • Tax Time 2022 update – 2 August

    Key messages and themes from the Tax Practitioner Stewardship Group (TPSG) Tax Time meeting, held on 2 August 2022.

    On this page

    Attendance

    Role changes for attendees are noted below:

    • Tracie Crowden was an apology, Gavin Hayhurst represented Superannuation and Employer Obligations.

    TPSG external member apologies:

    • Michael Croker, Chartered Accountants Australia and New Zealand
    • Mark Morris, BNR Partners
    • Neville Birthisel, Tax & Super Australia
    • Tony Greco, Institute of Public Accountants
    • Warren Seeto, Clarity Professional Group.

    Welcome

    Members were welcomed and advised of changes to ATO representatives for the meeting.

    Action item updates

    No action item updates for 2 August meeting.

    ATO updates

    Updates were provided from:

    • ATO Systems and Digital services
    • Service Delivery
    • Marketing and Communication
    • Lodge and Pay
    • Individuals
    • Small Business
    • Superannuation and Employer obligations.

    No significant issues identified. Tax time is progressing well. Key points noted included:

    • There are currently no system issues to report.
    • Lodgment for the current year is tracking slightly higher than last year.
    • Contact centres are meeting 90% service standard.
    • Our communication focus is about helping people to get deductions right this tax time, especially for COVID-19 related purchases of personal protective equipment.
    • We delivered communications advising of the increase to fuel tax credit rates on 1 August 2022. Our fuel tax credit calculator provides assurance when applying the correct rates.
    • The latest video for tax agents has been released, focussing on
      • differing tax implications for government COVID-19 support payments
      • clarifying which payments need to be included in your client’s tax return this year.
       
    • Our Tax Time podcast takes an in-depth look at crypto assets
      • including reporting income, like staking rewards
      • when to declare income and capital gains or losses
      • what to consider if a business wants to start accepting crypto.
       
    • Highlights from the Tax professionals newsletter includes
      • employment income amendments are now in Online services for agents (OSfA)
      • foreign investment application fee has been increased
      • how to determine your client’s residency for tax purposes
      • what to include if your client is receiving foreign income
      • what to do if your client has missed the 28 July 2022 super guarantee due date.
       
    • Currently, 94.5% of Single Touch Payroll (STP) records have been finalised for the 2022 year. STP tax time reminders will issue this week.

    Member comments

    A member advised the super guarantee charge (SGC) communication package has good direction; however the timing would have been better if released before the beginning of July as software set up is required from 1 July.

    Members suggested that we need to adjust messaging about the September quarterly SCG obligation due date.

    Member issues and insights

    Issues raised out of the session

    A member raised an issue on payment arrangement plans defaulting. This issue will be discussed at an upcoming Lodge and Pay workshop.

    An issue was raised by a member about guidance material on state government payments. This will be managed offline.

    New issues

    A member asked if there are processing issues with Australian Business Numbers (ABN) currently, noting it was taking longer than usual for ABN’s to be issued.

    We advised there is currently no significant processing backlog.

    A member suggested as there is currently a lack of clear guidance on taxpayer’s responsibilities when a loss is experienced with cryptoI It would be useful for a video to be released.

    We advised messaging and content will be reviewed.

    A member highlighted that tax agents are not being provided with correct call centre scripting when lodging STP on behalf of employer clients. Agents have been directed to use their client's SSID number during calls rather than their own SSID. The agent is also being directed to be appointed in the client's Relationship Authorisation Manager (RAM).

    We advised we would review scripting opportunities for improvement.

    Useful links

    Last modified: 10 Aug 2022QC 70166