Our Recent Blogs
Dental expenses are private expenses
The ATO has been seeing a number of deduction claims for dental expenses this tax time. Dental expenses, including preventative and necessary dental treatment, medical expenses and other costs relating to client's personal appearance (such as teeth whitening, makeup, skin care, shaving products and haircuts) are not deductible.
Alternative providers to the SBSCH
Employers should start preparing for the permanent closure of the Small Business Superannuation Clearing House ('SBSCH') on 1 July 2026.
Tips to help sole trader clients
The ATO is seeing sole traders make mistakes in the following areas:
Correctly dealing with rental property repairs
Taxpayers who have had work done on their rental property should ensure the expense is categorised correctly to avoid errors when completing their tax return.
Employees incorrectly treated as independent contractors
The ATO is warning businesses that if they incorrectly treat an employee as an independent contractor, then they risk receiving penalties and charges, including:
GST held to apply to sales of subdivided lots
The Administrative Review Tribunal ('ART') recently held that some sales of subdivided farmland were subject to GST as they were made by the taxpayer in the course of carrying on an enterprise.
New ATO Data-Matching Programs
The ATO acquires and uses data for pre-filling, detecting dishonest or fraudulent behaviour, and identifying areas where it can educate taxpayers to help them understand their tax obligations.
ATO's focus on small business
The ATO is 'detecting and addressing' recurring errors in specific industries when businesses have a turnover between $1 million and $10 million.
Dual cab utes and FBT
The ATO wishes to dispel the 'common myth' that dual cab utes are automatically exempt from fringe benefits tax ('FBT'). If an employer provides dual cab utes to staff to complete their duties and the vehicle is available for personal use, then the benefit may be subject to FBT.
Changes to tax return amendment period for business
Businesses with an annual aggregated turnover of less than $50 million now have up to four years from the date of their tax return assessment to request amendments (increased from two years). This applies to assessments for the 2024/25 and later income years.
ASIC Warning About Pushy Sales Tactics Urging Quick Super Switches
ASIC is warning Australians to be on 'red alert' for high-pressure sales tactics, click bait advertising and promises of unrealistic returns which encourage people to switch superannuation into risky investments.
Bill to Reduce Student Debt Now Law
Legislation has recently been enacted which delivers on the 2025/26 Federal Budget announcement to reduce student debts.
ATO to Include Tax 'Debts on Hold' in Taxpayer Account Balances
From August 2025, the ATO is progressively including 'debts on hold' in relevant taxpayer ATO account balances.
Paid Parental Leave Changes Have Now Commenced
As from 1 July 2025, the amount of Paid Parental Leave available to families increased to 24 weeks, and the amount of Paid Parental Leave that parents can take off at the same time has also increased from two weeks to four weeks.
Changes to Car Thresholds from 1 July 2025
The car limit for the 2026 income year is $69,674. This is the highest value that a taxpayer can use to calculate depreciation on a car where they use the car for work or business purposes and they first use or lease the car in the 2026 income year.
Fuel Tax Credit Rates Increased 4 August 2025
Fuel tax credit rates increased on 4 August 2025, so don’t forget to use the new rates when you calculate your claims on your next BAS.
Transfer Balance Cap Increased to $2 Million from 1 July 2025
From 1 July 2025, the general transfer balance cap (TBC) has increased from $1.9 million to $2 million.
New Div7A Benchmark Interest Rate – 2026 Financial Year
The ATO has announced the new rate applicable to any Div7A loans for FY26 to be 8.37%. This is down from the FY25 rate of 8.77%.
Top 5 Work-from-Home Tax Questions – Answered by the ATO
With many Australians continuing to work from home, it's important to understand what you can and can’t claim at tax time.
Fuel Tax Credit Rates Changed on 1 July 2025
Some Fuel tax credit rates have changed as of 1 July 2025. The rate for heavy vehicles travelling on public roads has decreased due to an increase in the road user charge.