Tax return and payment deadlines deferred by ATO

The tax return and tax payment deferral arrangements announced by the ATO is welcome relief for hard pressed Australians, businesses and tax agents.

Businesses need our support more than ever with stimulus measure assessment, negotiations with lenders and landlords, identifying cost savings, shoring-up those income streams that remain viable and identifying new business models for a post-COVID-19 economy. The ATO have recognised that and provided a small extension to us all.

Previously due on 15 May 2020, lodgement and payment has been automatically deferred for 2019 company and SMSF income tax returns. Income tax returns for individuals, partnerships and trusts must be lodged by 5 June 2020 under a ‘pay and file’ approach.

For those businesses struggling to find the cash to pay their tax, you (or Holmans) can negotiate a tax debt payment plan with the ATO who are generally sympathetic to such requests, but usually only if lodgments are up to date. The worst thing a taxpayer struggling with the financial impact of COVID-19 can do is hide and hope the ATO goes away.

Importantly, many of the Government Stimulus programs also depend on staying up to date with lodgements… Payment of any debts should be considered as a separate issue.

Further details on tax return and payment deferrals:

  1. Lodgment and payment deferrals will be automatically applied to the following obligations that were due on 15 May 2020:
    • Company 2018-19 income tax returns will now be due by 5 June 2020
    • SMSF 2018-19 annual returns will now be due by 30 June 2020
  2. 2018-19 income tax returns for individuals, partnerships and trusts can be lodged by the 5 June 2020 concessional due date, provided clients pay any liability by this date.
  3. The lodgment due date for the annual 2020 FBT return lodgers will be automatically deferred to 25 June 2020. The payment due date for all annual 2020 FBT returns will also be deferred to 25 June 2020.
  4. In “exceptional” circumstances (very little guidance provided on what that is yet), you can apply for a payment deferrals until 4 September 2020 for debts associated with the above.

Holmans Tip – JobKeeper:

  • Businesses have been provided with an extension to Enrol in JobKeeper… initially 30 April, it has been extended to 31 May (even for April claimers).
  • Have you applied/enrolled formally for JobKeeper? If so, you should now be in a position to start rent negations with your landlord. They will expect proof of your decline in turnover, so have that information handy. Contact Holmans were you have any concerns or require formal accountant letters.
  • Diarise to complete the first month’s JobKeeper Reporting for reimbursement on 4 May (businesses eligible for reimbursement of April payments).

Need assistance and want to know more?
Contact Holmans today;

Holmans Noosa: (07) 5430 7600 or email
Holmans Maroochydore: (07) 5451 6888 or email