A COVID-19 TAX TIP FROM MR TAXMAN #9

Apr 02, 2020

To assist taxpayers experiencing financial difficulty as a result of COVID-19, the Australian Taxation Office is providing added flexibility to manage your instalments to suit your circumstances.

You can vary your instalments (including varying to zero) if you think using the current amount or rate will result in you paying too much by way of instalments when compared to your estimated tax for the year.

Your varied amount or rate will apply for all your remaining instalments for the income year, or until you make another variation.

Furthermore, if you vary your instalment amount or rate, you can claim a credit for instalments you have already paid this year.

Where you choose to vary your PAYG instalment amounts due to the impacts of COVID-19, the ATO will not apply penalties for excessive variation or charge interest on these instalments.

For more info to help you vary your instalments look at the attached image or go to https://www.ato.gov.au/General/COVID-19/Additional-support-during-COVID-19/#VaryyourPAYGinstalments 

Vary PAYG Instalments

 

Tags: Accountant Melbourne, Accountant Sydney, Business, Business Activity Statement (BAS), Company tax, Coronavirus, COVID-19, Employers, PAYG Instalments, Personal tax, Small Business, Starting a Business

Author: Mr Taxman, Dr Adrian Raftery

Comments

Post a New Comment

comments-rhsLatest Comments

  • "Congrats Bikash. If you are working as an accountant (or in the general field) then you can prepay your CPA course fees & claim as a tax deduction this year as work-related self education study. If..."

    By: Mr Taxman at Jun 25, 2020 1:39AM

    Post: Tax strategies that count the cost of COVID-19 and recession

  • "Hi Adrian, I bought your new book, got my free $500 after co-contribution. I am planning to my CPA, enrolment starts 30 June 2020 but semester only begins on August 2020. Can i claim the..."

    By: Bikash at Jun 23, 2020 3:59AM

    Post: Tax strategies that count the cost of COVID-19 and recession

  • "If you run a business Bikash you could claim in full via the instant asset write-off. However if you are an employee you will need to depreciate the laptop & only claim a very small amount in your..."

    By: Mr Taxman at Jun 22, 2020 9:28AM

    Post: Max your tax return: 5 things you should do before 30 June

  • "Can i claim laptop purchase with covid?"

    By: Bikash Rai at Jun 21, 2020 8:25AM

    Post: Max your tax return: 5 things you should do before 30 June

  • "You won't be able to claim a deduction for car parking unless a0 you park for less than four hours between 7am and 7pm; or b) you park more than 1km from work (ie not close proximity to work)."

    By: Mr Taxman at Jun 15, 2020 7:33AM

    Post: Claiming car expenses