If you have a partnership, it's expected you'll lodge your statements of distribution (SODs) digitally. You can lodge your SODs digitally using either your standard business reporting (SBR) enabled software or, if you're a registered agent, our practitioner lodgment service (PLS).
This means the data lodged digitally will be available to you for lodgment in future years, saving you time in the long run.
The digital data helps us cross-check and assure all partners are correctly reporting income in their returns making our compliance actions more accurate. For example, this helps us identify partners who are doing the right thing which is important given our increased compliance focus on allocation of profits within professional firms. Advisers should be aware that the 2-year transitional period under PCG 2021/4 Allocation of professional firm profits – ATO compliance approach has expired and doesn't apply to 2024–25 returns.
Avoid common errors that can lead to penalties and costs by completing all required information for each partner in the SOD labels. These include:
- the name of each individual or entity
- tax file numbers
- residential or business addresses
- date of birth for individuals
- ABNs for other entities (if they have one).
Remember the SOD labels are part of the partnership return in which you make accountable statements to us. To steer clear of unintended or adverse consequences, always ensure the data you input is accurate.
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