Current news from our news service

Hot Issues
spacer
Tax Time Checklists - Individuals; Company; Trust; Partnership; and Super Funds
spacer
Year-end tax planning
spacer
Home Office & end of 2021 tax year
spacer
ATO extends STP finalisation due date
spacer
Super transfer balance cap increase from 1 July 2021
spacer
ATO extends Division 7A COVID-19 relief
spacer
Tax implications - more than one job
spacer
Tax mix to rely more heavily on income tax as the Treasurer ducks austerity
spacer
10% Super Guarantee from 1st July 2021
spacer
End of year financial strategies
spacer
Closely held payees: STP options for small employers
spacer
Videos to help understand accounting topics.
spacer
ATO Small Business Newsroom - May / June
spacer
New insolvency rules commence
spacer
ATO sheds light on crypto compliance focus
spacer
Post Federal budget reflections
spacer
Federal Budget 2021 - Overview
spacer
Building a more secure and resilient Australia
spacer
Federal Budget 2021 - Health
spacer
ATO signals crackdown on 4 ineligible work-from-home claims
spacer
Taxpayers urged to keep work-from-home records
spacer
Businesses feeling ‘adverse’ impacts of COVID-safe measures: ABS
spacer
New insolvency rules commence
spacer
ATO promises not to ‘destroy’ businesses as it resumes debt collection
Article archive
spacer
Quarter 2 April - June 2021
spacer
Quarter 1 January - March 2021
spacer
Quarter 4 October - December 2020
spacer
Quarter 3 July - September 2020
spacer
Quarter 2 April - June 2020
spacer
Quarter 1 January - March 2020
spacer
Quarter 4 October - December 2019
spacer
Quarter 3 July - September 2019
spacer
Quarter 2 April - June 2019
spacer
Quarter 1 January - March 2019
spacer
Quarter 4 October - December 2018
spacer
Quarter 3 July - September 2018
spacer
Quarter 2 April - June 2018
spacer
Quarter 1 January - March 2018
spacer
Quarter 4 October - December 2017
spacer
Quarter 3 July - September 2017
spacer
Quarter 2 April - June 2017
spacer
Quarter 1 January - March 2017
spacer
Quarter 4 October - December 2016
spacer
Quarter 3 July - September 2016
spacer
Quarter 2 April - June 2016
spacer
Quarter 1 January - March 2016
spacer
Quarter 4 October - December 2015
spacer
Quarter 3 July - September 2015
spacer
Quarter 2 April - June 2015
spacer
Quarter 1 January - March 2015
spacer
Quarter 4 October - December 2014
Taxpayers urged to keep work-from-home records

 

Moore Australia has called for taxpayers to keep a diligent log of the hours worked from home this financial year as tax time looms.

 

       

“Although Australia has fared well throughout COVID, our working patterns have changed in step with the rest of the world, as expected,” said David Tomasi, chairman of Moore Australia.

“It is important that Australians are aware of their entitlements under the ‘new normal’.”

While tax agents should be advising their clients on working-from-home entitlements, taxpayers should also be aware of the ATO’s shortcut method which in January was extended to 30 June this year. 

“To their credit, the ATO has significantly simplified the process of claiming tax deductions related to working from home,” Mr Tomasi said.

The temporary arrangement allows taxpayers to claim a fixed rate of 80 cents an hour for all running expenses incurred as a result of working from home, as opposed to calculating costs for specific expenses. 

Its introduction also saw the end of a measure which required taxpayers to have a dedicated work-from-home area, factoring in multi-person households, where each working taxpayer would now be able to claim.

“To claim home office deductions using the shortcut method, individuals need to keep a record of actual hours worked at home,” Mr Tomasi said.  

“The shortcut method is not compulsory, and individuals can still claim based on actual expenses incurred.

“However, they would then have to comply with the necessary, and more complex, record-keeping requirements.”

Tax agents and self-lodgers interested in using the method will need to include a note that reads “COVID-hour rate” in their tax returns.

The method will cover a range of running expenses including electricity for lighting, cooling, heating and the running of other electronic items; phone and internet costs; and the depreciation of various items spanning computers, laptops, home office furniture, and other household fixtures that see wear as a result of a taxpayer’s working arrangements. 

The Tax Office last extended its simplified working-from-home deduction method in January while New South Wales was reckoning with the containment of a COVID-19 outbreak which sent Sydney’s northern beaches into lockdown. 

Introduced last April, it was first due to expire at the end of the last financial year, before it was in June extended to September last year, and then until December.

 

 

John Buckley 
03 May 2021
accountantsdaily.com.au

 

site By PlannerWeb