ATO releases tax time toolkit to help small businesses

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The Australian Taxation Office (ATO) has released a tax time toolkit designed to help small businesses and their tax advisers.

The toolkit packages up a series of easy-to-understand fact sheets on topics that small businesses need to know this tax time, especially given the tax implications of COVID-19.

“As we all continue to navigate the COVID-19 pandemic, we completely appreciate that it’s a really tough time for many small businesses. Our job is to continue to support businesses who need help with their tax and super obligations, in partnership with the tax profession,” says ATO Assistant Commissioner Andrew Watson.

“Many small businesses have had a really difficult few months, and we fully acknowledge this. From bushfires to floods to COVID-19, we know times are tough. Small businesses have a long to-do list, and tax obligations are just one of many items that need to be done.”

The toolkit includes a set of fact sheets on a range of topics, including:

  • home-based business expenses – if as a business owner, you’re claiming deductions for the costs of using your home as your main place of business.
  • pausing or permanently closing your business – if you’ve had to pause or permanently close your business due to COVID-19.
  • motor vehicle expenses – if you’re claiming a deduction for motor vehicle expenses for your business.
  • travel expenses – if you’re claiming a deduction for expenses you incur when travelling for your business.
  • using your company’s money or assets – if you’re a director or shareholder of a company that operates a small business, and you take money out of your company or use its assets.

“Don’t forget, it’s best to ask for help with your tax if you need it. And it’s never too late to speak with us or a registered tax professional if you aren’t sure about something or need a helping hand,” Andrew says.

To access the tax time 2020 toolkit for small businesses, visit ato.gov.au/SBtaxtimetoolkit

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