Simeoni News Update – ATO cash flow support for business financially affected by COVID-1924th Mar 2020
We understand that it may be a difficult time for a lot of people, with many now facing additional concerns due to both financial and non-financial pressures brought onto businesses due to the COVID-19 pandemic.
Simeoni & Co are committed to working together with the community to provide support wherever possible. We are currently working with affected clients to provide support where it is most needed.
ATO assistance offering
As you may be aware, the Australian Taxation Office (ATO) will provide support to taxpayers affected by COVID-19. If you or your clients are having financial difficulties due to the current business conditions, you can ask for more time to pay your tax debt or arrange for a payment plan that may have zero or low interest. This includes amounts owing on your activity statement.
Other assistance programs offered by the ATO include:
• Payment deferrals:If you or your clients have been impacted by COVID-19, the ATO have undertaken to work with you or your clients’ to defer some payments and vary instalments due.
• Monthly GST credits: Businesses on a quarterly reporting cycle may elect to change their GST reporting and payments to be made monthly in order to gain quicker access to GST refunds that they are entitled to.
• Pay as you go instalment variations:The ATO is loosening the rules regarding variations. Businesses that vary their PAYG instalment rate or amount for the March 2020 quarter can also claim a refund for any instalments made for the September 2019 and December 2019 quarters.
• Remitting interest and penalties: Where your business is affected by COVID-19, the ATO will consider remitting interest and penalties incurred after 23 January 2020 that have been applied to tax liabilities.
• Superannuation guarantee payments: The ATO has advised that employers still need to meet their superannuation guarantee obligations, and that the ATO cannot vary the contribution date or waive the superannuation guarantee charge where super guarantee payments are late or unpaid.
As you would appreciate this is an ever changing situation, and we will continually update you with measures as they are released.
Paul Simeoni & Team