Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Lodgement deferrals on the cards as profession speaks out

The ATO could be pressed into granting lodgement deferrals this year, as practitioners continue to suffer from a 2020 hangover.

Tax&Compliance Jotham Lian 24 March 2021
— 1 minute read

The Institute of Public Accountants is currently weighing up an option to call on the ATO to apply blanket lodgement deferrals this year, after feedback from practitioners revealed that they are continuing to fall behind on lodgements following a frenetic year that saw the profession relied on heavily on the economic front lines.

Advertisement
Advertisement

“Realistically, we’re going to have to slow down,” said the IPA’s general manager of technical policy, Tony Greco. “We still have 2020 lodgements and we still have to prepare clients for a post-JobKeeper world.

“There’s a lot in the pipeline and were probably likely to ask for a lodgement extension, another blanket one.

“Thats the feeling I get that members are probably going to need another blanket extension, but were going to wait a little bit before we put our hand up.”

Blanket lodgement deferrals were a sore point for practitioners last year, with the professional accounting bodies unable to convince the ATO to defer due dates to the end of the financial year. The ATO, however, agreed not to apply late lodgement penalties and assured tax agents that they would not lose access to the lodgement program if they failed to meet their 85 per cent on-time requirement.

While practitioners will not have to contend with the rush to help clients access JobKeeper, the cash flow boost, and other state and territory stimulus measures this year, Mr Greco believes the government and the regulators should spare a thought for the profession before relaunching work programs that were put on ice last year.

Some developments being pushed through over the next 12 months include Single Touch Payroll Phase 2, recommendations from the Tax Practitioners Board review, and the incoming Director Identification Number regime.

“All the regulators want to hit the gas pedal, but we’re still dealing with 2020,” Mr Greco said.

“We asked practitioners how they were feeling and a lot of people said ‘tired’. [The stimulus measures] have been add-on work and weve been asked to do the heavy lifting and through that trust position we havent let clients down.

“We are tired and we cant work at this pace without catching a bit of breath and looking after our mental health.

“We need to make the regulators understand that were still dealing with 2020, and as much as we want to say goodbye to it, it carries over.”

Lodgement deferrals on the cards as profession speaks out
image intro
accountantsdaily logo

 

Are you thinking of expanding your offering into SMSFs to grow your client base? Become a pro at SMSF fundamentals and make your clients bulletproof with the SMSF Foundations course. Learn directly from Aaron Dunn from Smarter SMSF as he deep-dives into the fundamentals you need to know to successfully undertake your work as an SMSF practitioner. Earn up to 21 CPD hours! Learn more

Jotham Lian

Jotham Lian

Jotham Lian is the editor of Accountants Daily, the leading source of breaking news, analysis and insight for Australian accounting professionals.

Before joining the team in 2017, Jotham wrote for a range of national mastheads including the Sydney Morning Herald, and Channel NewsAsia.

You can email Jotham at: This email address is being protected from spambots. You need JavaScript enabled to view it. 

Tax&Compliance