RA Business Advisors

ATO

ATO Fuel Response Payment Plan: What Small Businesses Need to Know

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Rising fuel costs are continuing to put real pressure on small and medium businesses across Australia. From tradies and transport operators to retailers and service providers, we’re seeing the flow-on effect hit everything—supplier costs, delivery fees, and ultimately, cash flow. 

As accountants working closely with small businesses every day, we’re having more conversations about ATO debt, payment stress, and how to stay compliant while managing rising expenses. The good news? The ATO has introduced a targeted support measure, the Fuel Response Payment Plan and it may provide some breathing room if you’re feeling the squeeze. 

Here’s what you need to know. 

 

What is the ATO Fuel Response Payment Plan? 

The Fuel Response Payment Plan is a temporary support initiative designed to help businesses impacted by rising fuel costs manage their tax debts more effectively. 

In simple terms, eligible businesses can: 

  • Enter into a payment plan of up to 36 months 
  • Start without an upfront payment
  • Potentially receive remission of General Interest Charges (GIC) if certain conditions are met 

This is a practical option if your business is viable but currently under pressure due to increased operating costs linked to fuel. 

 

Who is eligible? 

From what we’re seeing, the ATO is taking a targeted but practical approach. To be eligible, your business generally needs to: 

  • Have an active ABN 
  • Be impacted by higher fuel costs—either directly (e.g. transport, machinery) or indirectly (e.g. freight, supplier increases) 
  • Have a tax debt or be struggling to meet existing ATO obligations 
  • Show that your ability to pay has been reduced specifically due to fuel-related cost increases 

This isn’t a “blanket relief” measure—it’s designed for businesses that are genuinely feeling the impact and still intend to meet their obligations over time. 

 

Key deadlines and conditions 

This is not an open-ended opportunity, so timing matters. 

  • Applications are available until 30 June 2026 
  • You must keep your lodgments up to date 
  • To be considered for GIC remission, you’ll need to: 
  • Stick to the payment plan 
  • Make instalments for at least three months 

From our experience, the ATO is far more supportive when businesses are proactive and engaged early. 

 

What you should do before applying 

Before jumping into a payment plan, we strongly recommend taking a step back and reviewing your position properly. This is where we add the most value for our clients. 

Here’s what we typically work through: 

  • Review your current ATO debt and outstanding lodgments 
  • Identify and document how fuel costs have impacted your business 
  • Assess your cash flow and repayment capacity 
  • Ensure payroll obligations (wages and super) are being prioritised 
  • Determine whether a payment plan is the right solution—or just a temporary fix 

Not every business should default to a payment plan. Sometimes, restructuring cash flow or adjusting pricing can be a better long-term solution. 

 

Don’t overlook payroll and compliance 

One of the biggest risks we see during cash flow pressure is businesses falling behind on payroll obligations. 

Even if you’re entering into an ATO payment plan, you still need to stay on top of: 

  • Employee wages 
  • Superannuation 
  • BAS lodgments 
  • PAYG withholding 

Falling behind here can create bigger issues than the original tax debt. This is why having the right systems—and advice—in place is critical. 

 

How we help our clients navigate this 

This is exactly the kind of situation we deal with every day. 

We help our clients: 

  • Assess eligibility for ATO support measures 
  • Prepare the right documentation and financial position 
  • Communicate and negotiate directly with the ATO 
  • Align payment plans with real cash flow capacity 
  • Keep payroll and compliance on track 

Most importantly, we make sure you’re not just reacting—we help you plan forward so you don’t end up in the same position again. 

 

Final thoughts 

The ATO Fuel Response Payment Plan is a valuable option if your business is under pressure from rising fuel costs, but it’s not a one-size-fits-all solution. 

If you’re unsure whether this applies to you, or you’re already feeling the strain of ATO debt and cash flow issues, now is the time to act, not later. 

If you’d like help reviewing your situation or speaking to the ATO, get in touch with our team. We’ll help you find the right path forward with clarity and confidence. 

Payday Super is coming: what small businesses need to fix before 1 July 2026

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The ATO is warning small and medium businesses to be prepared to avoid seeing any confusion around the upcoming Payday Super changes. Many business owners assume it simply means “paying super more often.” That’s not quite right and misunderstanding this could lead to compliance issues, cash flow pressure, and unnecessary stress. 

From 1 July 2026, Payday Super will fundamentally change how and when superannuation must be paid. If you run a business with employees, now is the time to get ahead of it. 

 

What is Payday Super? 

From 1 July 2026, employers will need to ensure that superannuation contributions are received by an employee’s super fund within 7 business days of payday. 

This is a significant shift from the current quarterly system. It’s no longer enough to calculate super correctly and pay it “eventually.” Timing, accuracy, and processing speed will all matter. 

Importantly, the obligation isn’t met when you press “pay”, it’s met when: 

  • The contribution is received by the fund, and 
  • The correct data is provided so it can be allocated to the employee’s account. 

 

The biggest misconception we’re seeing 

The most common assumption we hear is: 

“We’ll just pay super at the same time as wages.” 

But the reality is more nuanced. 

The compliance clock doesn’t start when you make a payment — it starts when your STP (Single Touch Payroll) event is lodged. From that point, you have a limited window for the super to be: 

  1. Processed 
  1. Cleared through your clearing house 
  1. Received and reconciled by the employee’s fund 

That last step is critical — because if there’s an issue anywhere along the chain, the payment may be considered late. 

For businesses using manual processes or systems that don’t fully integrate payroll and super, this is where risk starts to build. 

 

Where small businesses may get caught out 

From our experience working in this space, there are four key areas where businesses are most exposed: 

  1. Data accuracy and onboarding gaps
    Incorrect super fund detailsand incomplete employee records can delay payments and under Payday Super, delays mean non-compliance. 
  2. Cash flow timing
    You’re not paying more super overall,but you are paying it sooner and more frequently. For many businesses, this creates a shift in working capital that needs to be planned for. 
  3. Limited time to fix errors
    Seven business days is a tight turnaround. If something goes wrong,whether it’s a rejected payment or incorrect data you don’t have the buffer you once did. 
  4. Increased compliance risk
    Late payments may trigger Super Guarantee (SG) charge obligations, including interest and administrative penalties. Even small mistakes can have financial consequences.

 

What you should be doing now 

Under Payday Super, payroll isn’t just about paying staff correctly, it’s about ensuring every piece of data is accurate and flows through the system smoothly. 

We’re advising clients to focus on: 

  • Employee onboarding processes (especially fund selection) 
  • Up-to-date super fund details 
  • Payroll software capability and automation 
  • Super clearing house timing and reliability 
  • Integration with Single Touch Payroll (STP) 

 

How we help businesses navigate this 

This is an area we specialise in, and it’s where we see the most value for our clients. 

We’re already working with small businesses to: 

  • Review and optimise payroll systems 
  • Identify compliance risks before they become issues 
  • Improve payroll accuracy and processes 
  • Forecast and manage cash flow impacts 
  • Ensure everything is aligned well ahead of 1 July 2026 

Our role is to make sure this transition is smooth, controlled, and stress-free. 

 

Don’t wait until July 2026 

The biggest mistake we’re seeing right now is businesses assuming they have time. In reality, the earlier you prepare, the easier this transition will be. 

If you’re unsure whether your payroll systems, processes or cash flow are ready, now is the time to review. 

Get in touch with our team for a Payday Super Readiness check — and make sure your business is set up properly before the rules change. 

ATO Releases 2025 Tax Time Toolkit: What Small Business Owners Need to Know

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Tax time is here again, and for many small business owners, it can be overwhelming knowing what you can and can’t claim — especially when you’re trying to stay focused on running your business. Fortunately, the Australian Taxation Office (ATO) has released its 2025 Tax Time Toolkit, and it’s a resource I recommend every small business owner looks at.

We work with small to medium business clients daily, and I know from experience that confusion around deductions, record-keeping, and tax obligations can cause unnecessary stress — and mistakes. That’s why resources like the Tax Time Toolkit are so valuable.

What is the ATO’s Tax Time Toolkit?

The ATO’s 2025 Tax Time Toolkit is a set of free, downloadable resources designed to help individuals and businesses get their tax returns right. It includes clear guidance on:

  • ✅ Occupation-specific deductions
  • ✅ Common work-related expenses
  • ✅ Records you need to keep
  • ✅ Residency for tax purposes

It’s a practical tool that aims to reduce confusion and help business owners avoid common tax pitfalls. Whether you’re claiming vehicle expenses, equipment purchases, or professional development costs, the Toolkit helps clarify what you can and can’t claim.

Why This Toolkit Matters for Small Business

If you’re a small business owner, understanding your tax obligations — and your entitlements — is critical. The reality is, many small businesses miss out on deductions they’re eligible for simply because they aren’t sure what’s allowed. Others may unknowingly overclaim, which can trigger ATO scrutiny.

The Tax Time Toolkit provides much-needed clarity. It’s especially useful for industries with unique deduction rules — trades, hospitality, health services, and more. If your admin team handles parts of your tax, it’s a great reference to keep handy.

As accountants who specialise in small business, we often see how easily tax time can go off track. Using the ATO resources is a smart first step — but getting tailored advice ensures you’re compliant and maximising legitimate deductions.

Beware of Common Tax Mistakes — Especially Around CGT

The ATO has also highlighted a key area where many tax returns go wrong: Capital Gains Tax (CGT). Mistakes often occur when business owners sell assets — whether it’s property, shares, or other investments.

To avoid these errors:

  • ✔️ Make sure you’re providing your accountant with full details of any assets sold during the financial year.
  • ✔️ Use the Online Services for Agents (OSFA) pre-fill reports — a tool we use extensively to cross-check your tax information.

Missing or incorrect CGT details can lead to unnecessary tax bills or compliance issues down the track.

How We Support Small Businesses During Tax Time

Tax time doesn’t need to be stressful. Our team works closely with small and medium businesses to ensure tax obligations are met accurately — and opportunities for legitimate tax savings aren’t missed. We help you:

  • ✅ Understand and apply the ATO’s Tax Time Toolkit to your specific situation
  • ✅ Navigate CGT rules and avoid common errors
  • ✅ Keep proper records and claim eligible work-related expenses
  • ✅ Get peace of mind knowing your tax return is handled by specialists

Need Help This Tax Time?

I always tell clients — the Toolkit is a great resource, but personalised advice makes all the difference. If you’d like help navigating your tax return and ensuring you’re maximising every legitimate deduction, contact us today.

Navigating Crypto Assets in Your SMSF

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The world of crypto assets is evolving rapidly—and for anyone running Self-Managed Super Funds (SMSFs), the risks and responsibilities are growing just as fast. The Australian Taxation Office (ATO) has issued fresh guidance on how SMSFs should handle crypto investments, and the message is clear: tread carefully, or risk non-compliance.

As an accounting firm, we’ve seen a noticeable rise in interest around using SMSFs to invest in digital assets like Bitcoin, Ethereum and other cryptocurrencies. While there are potential gains, there are also very real regulatory pitfalls. And if your SMSF fails to meet its obligations, the consequences can be severe.

Why the ATO Is Paying Close Attention

The ATO’s recent update highlighted three key areas of concern with SMSF crypto assets:

  • Poor record keeping – many trustees aren’t properly tracking transactions or documenting asset ownership.
  • Valuation issues – crypto’s price volatility makes end-of-year valuations tricky.
  • Ownership separation – personal use or mixing SMSF crypto with private assets breaches the sole purpose test.

The ATO is now monitoring crypto in SMSFs more closely and expects trustees to get these fundamentals right. If you’re a small business owner using an SMSF to invest in digital assets, this matters more than ever.

Key SMSF Crypto Risks for Business Owners

If you’re managing your own super and holding crypto, here are the biggest traps we see:

  • Ownership Confusion: Your SMSF assets must be held in the fund’s name—not your personal crypto wallet. If you’re storing them on an exchange or cold wallet linked to your name, that’s a compliance red flag.
  • Insufficient Record-Keeping: Crypto transactions can move fast, but that’s no excuse for messy or missing records. Each trade, transfer, or purchase must be documented clearly to satisfy auditors and regulators.
  • Valuation Headaches: SMSFs are required to report fair market value as of 30 June each year. But crypto’s volatility makes this difficult without the right tools or independent verification.

Best Practice Tips to Stay Compliant

If you’re investing in crypto within your SMSF, here are some steps we recommend to keep you on the right side of the ATO:

  • Use a wallet in the SMSF’s name and ensure you can prove control and ownership.
  • Keep detailed records of every transaction—timestamps, wallet addresses, exchange receipts, and values in AUD.
  • Work with an accountant and SMSF auditor experienced in crypto to prepare accurate tax returns and audit-ready documents.
  • Use reliable valuation tools or get independent assessments for year-end reporting.

We often see trustees get tripped up simply because they’re not aware of the rules or assume that crypto is “off the grid.” It’s not. And the ATO is watching.

How We Help Small Business Owners with SMSFs

At our firm, we specialise in working with small businesses and SMSF trustees who want to invest in emerging assets like crypto—without the compliance nightmares.

We offer:

  • SMSF setup and structuring advice
  • Crypto asset accounting and transaction tracking
  • Year-end SMSF audits and tax return preparation
  • Ongoing compliance support to keep your fund safe and ATO-ready

With deep industry knowledge and hands-on experience, we guide our clients through the complexities of crypto accounting and help them make informed, compliant decisions.

Final Thoughts

Crypto offers exciting opportunities—but for SMSF trustees, it also comes with serious compliance responsibilities.

If you’re unsure whether your SMSF is meeting the ATO’s expectations or just want peace of mind heading into audit season, we’re here to help.

Reach out for a quick consultation or SMSF check-up—we’ll ensure your fund is structured, documented, and reported correctly.

👉 Book a free discovery call here

Non-Compliant Payments: How Are They Changing in 2019?

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When you are paying your employees, there are certain parties you need to withhold amounts from and instead send this to the ATO. This is to ensure these parties don’t have to pay larger amounts of unnecessary tax at the end of the year. We’ve put together a handy guide to make sure you don’t get caught out heading into the end of the financial year.  

From July 1, 2019 you can only claim deductions for payments made to your workers where you have met the PAYG withholding obligations for that payment.  

If the PAYG withholding rules require you to withhold an amount from a payment you make to a worker, you must: 

  • Withhold the amount from the payment before you pay it 
  • Report the amount the ATO 

Any payments you make where you haven’t withheld or reported the PAYG tax are non-compliant payments. You won’t be able to claim a deduction if you don’t withhold any PAYG tax or report the PAYG tax.  

You can only claim a deduction for the following payments if you comply with the PAYG withholding rules: 

  • Salary, wages, commissions, bonuses or allowances to an employee  
  • Directors’ fees 
  • To a religious practitioner  
  • Under a labour hire arrangement 
  • For a supply of services where the contractor has not provided you with their ABN 

These are all well and good, but what if you are providing something which is not cash, goods and services for example. If this is the case, you will still have to report the PAYG tax in order for this to be classified as a compliant payment and allow you to claim a deduction.  

It’s important that you ensure you are complying with PAYG withholding and reporting obligations for a payment. If you don’t, you face losing your deduction for that payment or existing penalties that apply, which can be a hefty fine. 

If you do make a mistake, you don’t need to start hyperventilating, instead you should lodge a voluntary disclosure form and correct your mistake as soon as possible. However, if you should have withheld PAYG tax and didn’t, you do stand to lose your deduction for that payment.  

As always, you can get in contact with us if you have any worries about your PAYG activity.

 

ATO Waving Penalties For Unpaid Superannuation Payments

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The ATO will be waiving penalties for the hundreds of businesses who have admitted failures to pay superannuation to their staff after a ‘botched’ amnesty.

An amnesty was rolled out in May of 2018, which offered employers who failed to pay super entitlements stretching back to the 1990s a “clean slate.” Unpaid super is estimated as being worth up to a whopping $6 billion a year in Australia, with the government hoping this initiative would encourage employers to pay their workers super entitlements. 

While the policy has been dumped, the amnesty for employers will still run for 12 months. Anyone failing to use this amnesty as a time to declare their past wrongdoings is warned they will face penalties in the future to the sum of half the money owed, on top of the unpaid super. 

Employers who have already made claims to the ATO are being treated as though they had voluntarily reported themselves under current rules. This means they must repay unpaid super as well as interest to the employee and an administration fee per employee of $20 per quarter. 

To be eligible for the superannuation amnesty, businesses will need to:

  • Not be subject to an audit of your Superannuation Guarantee (SG) for the relevant periods 
  • Voluntarily disclosed amounts of SG shortfall or late payments that have not been previously disclosed for any period from 1 July 1992 to 31 March 2018 
  • Made the voluntary within the proposed 12-month amnesty period (24 May 2018 to 23 May 2019) 

If you are unsure whether you are meeting your superannuation requirements effectively, give us a ring on 07 3367 0852 or email us at mail@raaccountants.com.au 

Staying Safe At Tax Time Begins Now!

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As the year comes to a close and the financial year moves forward at full-steam, it’s important to be on top of your tax time practices now to prevent heartbreak later.   

The ATO have profiled the five most common mistakes Australians are making during the end of the financial year period:  

  • Leaving out some of their income (for example, money earned from cryptocurrency etc.) 
  • Claiming deductions for personal expenses (for example, between work travel, personal phone calls etc.) 
  • Forgetting to keep receipts or records of their expenses (around half of the adjustments the ATO makes are because the taxpayer had no records, or they were poor quality) 
  • Claiming for something they never paid for 
  • Claiming personal expenses for rental properties (either claiming deductions for times when they are using their property themselves, or claiming interest on loans used to buy personal assets like a car or boat) 

If you are worried about what you can claim for work-related personal expenses, just remember these three golden rules:  

  • You must have spent the money yourself and not have been reimbursed 
  • It must be directly related to earning your income 
  • You must have a record to prove it 

With ATO efforts to crack-down on tax time cheats increasing, it’s more important than ever to ensure you don’t get caught off-guard when June 30 comes around. 

If you are worried about any of these, don’t hesitate to get in contact with us! Especially if you are worried about ensuring you are on top of your receipts over the year. Through utilising apps such as ReceiptBank with Xero you can streamline your business and won’t have to worry about storing receipts ever again!  

 

How To Stay Safe Against The ATO Crackdown On Declared Income

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Warning Time

The Australian Taxation Office (ATO) is closing in fast on everyone who doesn’t properly declare their income and pay the correct amount of tax.

As your Tax Accountants, we want to help you be aware of what the ATO is doing and how you can protect yourself.

How Does The ATO Know?

The ATO is linking databases of property sales, car purchases, international plane flights, dividends paid from shares, and sales of shares and investments with the income declared on your Tax Return.

If your Tax Return income doesn’t match with your spending or repayment of loans, then the ATO will probably “red flag” you for a tax audit.

These databases have not been linked before like this, so we’re expecting to see a huge increase in the number of tax audits over the next 12 months.

Business Cash Receipts Not Declared

Many small business owners pocket some of their cash takings each week and don’t declare this in their Tax Returns.

The ATO now has the tools to catch this out

When your business Tax Return is lodged, the ATO compares your profit and other key indicators as a % of your total sales with other businesses in your industry. If your profit % is lower than average, then the ATO may decide to do a tax audit just to see if you’re properly declaring all the income you actually receive, or if the expenses you’ve claimed are actually allowable as tax deductions.

Also, not declaring cash income from your business could result in you getting a much smaller price for the sale of your business. We’ll discuss this in a future article.

What Are We Doing To Help You?

We have 2 keys roles as your tax accountants.

  1. Ensure you pay least amount of tax you legally should.
  2. Assist you to lodge a correct tax return, so if you’re audited by the ATO you can sleep peacefully at night knowing that you’ve done the right thing.

While we don’t like paying tax just like you don’t like paying tax – at the end of the day it simply is a normal part of life and there’s nothing we can do about it except for obeying the laws and lodging a true and correct Tax Return.

If you don’t declare all income you receive and if you claim as expenses things that aren’t properly allowable tax deductions – then if you’re audited and lose you will have to pay back tax PLUS pay large penalties to the ATO.

Is this really worth it?

We’re On Your Side. Talk To Us Today!

Let’s talk frankly. If you’ve been naughty in the past, talk to our expert accounting team about it. There are option we can advise you on to help you and reduce possible fines and penalties.

It’s better for us to help you declare past sins before the ATO finds out and starts their attack on you.

We’ll help you fight the ATO if the occasion is needed. But you need to do the right thing – even if you disagree with the tax laws.

Please – don’t doubt our resolve to help you.

Contact your expert team at RA Business Advisors today on 07  or by email at mail@raaccountants.com.au

We’re your good friends. And we’re here to help you!

Single-Touch Payroll: How Is It Going To Change Things For You?

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While the name may suggest some weird form of physical payroll, single-touch payroll (STP) is a new initiative from the ATO which came into effect at the start of this financial year. STP is currently applicable for employers with 20 or more employees. However, STP will also be used for employers with fewer than 20 employees from the start of next financial year.

single-touch payroll

 

What is single-touch payroll?

STP enables employers to report salary or wages, PAYG withholding and super information directly to the ATO at the same time they pay their employees. STP will send a copy of these to the ATO automatically when these are sent to the employee. The system is designed to make reporting easier for employers, as well as addressing the unpaid superannuation crisis.

How do I report through STP?

Reporting is easy as the process of STP is automatic, once your reporting software is STP-enabled. Before lodging your first report, make sure you authorise people to lodge reports on behalf of your business. As well as checking if you are in need of an AUSkey, this identifies you as the representative for your business when using online government services.

There are some payments which cannot be reported through STP, these include:

  • payments that are generally not paid through a payroll process;
  • payments made by payers to recipients that are generally not their employees

Are there any issues that could arise from STP?

As long as you are up-to-date on your super payments there is no need to worry. However, for smaller businesses that don’t pay super on time due to limited cash flow, consider breaking down these payments to be more regular to meet your obligations under STP. If you’ve missed superannuation payments in the past, there is an amnesty period until May 2019 to rectify any past non-compliance without penalty. Grievances can be backdated as far as 1992, so make sure you are on top of your superannuation!

Are there any benefits for employees?

Peace of mind. Through establishing the STP system, the ATO will get a report every time an employee is paid and will be able to instantly verify the superannuation payments are up to date. Employees will also be able to complete Super Choice forms and TFN declaration forms through their myGov account.

Tick Tock, Time’s Almost Up

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EOFY is just around the corner, so business owners beware. If you haven’t gotten it done, there is still some time left! If you’re a start-up founder, then pay extra close attention as I guide you step by step into your first business EOFY.

Step 1. Get your ducks in a row

Getting your documents in order is absolutely crucial when that panic sticking EOFY rolls around. If you don’t know what your number looks like it’s hard to make a plan on what to do.  As we keep telling you, we are XERO experts and we believe in most circumstances that is the best place to get your business numbers sorted.  For a start-up, there may be more cost-effective options to get you going and we can guide you through that decision.

Step 2. Seek expert advice

Many problems arise when tax time comes around; the biggest one is lack of understanding. That’s why our taxperts (link) are well versed in all the laws regarding tax.  We provide both taxation and business advice to arm you with all the knowledge you need. Penalties apply if your business isn’t compliant with legislation, so avoid unnecessary fees by talking to one of our advisors today!

Step 3. Claiming is the game

Small businesses that purchase new assets under $20,000 are eligible for a tax write-off to the full value of those purchases. Traditionally, you’d have to wait potentially say five years to realise this return but thankfully this upfront deduction has been extended. One catch: the assets must be purchased prior to EOFY and businesses cannot write-off expenditure that they are trying to also claim through an R&D tax incentive.  Other deductions such as superannuation contributions (new rules this year) can also make a big difference to your tax bill.

Step 4. Be aware

Tax rule changes are as frequent as Christmas these days, no matter what they change every year. It’s critical that you stay up to date with these changes. Last year the tax rate for small companies dropped from 30% where it had been stuck for quite some time. This year the rate is 27.5% for businesses earning under $10 million and 30% for businesses earning more.

Step 5. Arm yourself

Before the technological age really took off, owning a small business was a living nightmare. Thankfully the ATO has kept up with the times by offering an endless supply of small business administration information. Or if you’re really a tech head, there’s an app for that. Check out the ATO website for information ranging from start-ups to large businesses.  There is also a huge array of clever apps on the market that can help streamline your business and free up your time for the more important things in life.