Changes coming: Monthly PAYG Instalment from 1 January 2016
What happened?
From 1 January, certain taxpayers will have to report and pay their PAYG instalments monthly rather than quarterly.
The type of taxpayers affected by this will be:
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Companies with assessable income of $20 million or more; or
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All other entities (e.g. superannuation funds, trusts and individuals) with assessable income of $1 billion or more.
What does this mean for you?
- ATO will make a determination on 1 October 2015
If you are one of these entities mentioned above, you will have to report and pay your PAYG instalments monthly, rather than quarterly from 1 January 2016.
On 1 October 2015 the ATO will send notices to entities requiring to pay monthly (based on the figures from their latest return lodged).
How can Nexia Australia help you?
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Nexia Australia has the necessary skills and experience to help you with all your PAYG requirements
We appreciate that moving from a quarterly to a monthly PAYG instalment system may have an impact on the cash- ow of your business.
Therefore, please contact your Nexia Advisor if you want to talk to us about any cash- ow issues or for assistance in updating your systems to help with the pending PAYG reporting changes.
1 - From 1 January 2017 a lowered benchmark of $20 million will apply.