The ATO has recently announced their intention to review the ABN records for Individuals, Partnerships and Trusts throughout the 2018 year. Companies are not included in this ABN review.
Where an ABN is identified as being inactive, it will be cancelled. The criteria for inactivity are as follows:
- If the ATO has been informed business activity has ceased
- Where no business income has been declared for the last two years
- If business activity statement or income tax returns remain outstanding for more than two years
While taxpayers are encouraged to adhere to their lodgement obligations in all circumstances, ABN holders should review their outstanding lodgement and ensure they are bought up to date. The ATO has particularly identified that some individual ABN holders believe they do not need to lodge if their income is below the tax-free threshold. This is incorrect and such individuals are still required to lodge their returns.
Our office is able to assist if you are unsure of your outstanding lodgements or require assistance in bring your obligations up to date.
Disclaimer: The contents herein are intended for general information only and should not be construed as legal or accounting advice. Vicca Chartered Accountants Brisbane bears no responsibility for any loss that might occur from reliance on information contained in this publication. Please do not reproduce, transmit or distribute the contents herein in any form without prior permission from Vicca Chartered Accountants, Taxation Accountants Brisbane Australia.