The ATO will be extending the deadline to lodge and pay business activity statements and income tax returns for approximately three and a half million businesses, individuals, and self-managed superannuation funds in bushfire-impacted areas to 28 May 2020.
It will also fast track any refunds as well as remit any interest and penalties applied to tax debts since the commencement of the bushfires that have been applied to accounts of individuals and businesses located in impacted regions.
Taxpayers (or their agents) in these areas do not need to apply for a deferral, a faster refund, or remission of interest or penalties – it will be done automatically by the ATO.
Affected taxpayers are also able to vary their income tax instalments to nil without penalties. This also applies if taxpayers end up in a tax payable situation for that quarter once they have lodged their tax return.
The Commissioner for Taxation, Mr Jordan, said he hoped the additional time – on top of the two-month extension already granted – would give people the breathing space they need to recover and start to rebuild.
Eligible postcodes in the Blue Mountains are: 2758, 2773, 2774, 2776, 2777, 2778, 2779, 2780, 2782, 2783, 2784, 2785, 2786, 2787 To see all eligible postcodes, Australia-wide check the postcode list.
(Note: If you’ve been affected by this disaster but your postcode is not currently in the identified list, you can call the ATO Emergency Support Infoline on 1800 806 218 for individual assistance.)
While the ATO recognises the ongoing effects of this disaster such as cash flow problems for business owners who have suffered reduced trade, employers are reminded that they still need to meet their ongoing super guarantee obligations for their employees.. The ATO recommends any member of the community impacted by disaster and needing assistance or anyone suffering financial hardship is encouraged to talk to their tax or BAS agent or contact the Emergency Support Infoline on 1800 806 218, when they are ready, to discuss their situation.