ATO warning on retail premium payments
|
|
The Australian Taxation Office (ATO) has revealed it is reviewing the tax returns of shareholders in firms that made retail premium payments.
The Commissioner for Taxation, Michael D’Ascenzo, said he was concerned that some companies issuing share entitlements might be providing incorrect advice that retail premiums would be treated as capital for tax purposes.
“We are currently working with some companies which have made retail premium payments to help their shareholders understand and comply with their tax obligations,” he said.
He said the ATO would be reviewing the tax returns of shareholders who received the payments and, on that basis, he would be encouraging people to check they had correctly accounted for any retail premium payments in their tax returns.
“People who find they have incorrectly declared these payments who come to us before we contact them for an audit will be entitled to a reduction in any penalties that might apply,” D’Ascenzo said.
AUTHOR
Mike Taylor
Recommended for you
ASIC has permanently banned a financial adviser after he allegedly concealed information from clients and misused client funds, among other breaches.
Disgraced adviser Joshua Fuoco described himself as the “biggest monkey” at AFSL Group and provided financial advice via WhatsApp, all while being banned for 10 years, court documents show.
The Compensation Scheme of Last Resort has released the FY26 revised levy estimate, but the FAAA is concerned costs will be pushed into the following year.
Former Iress chief executive, Andrew Walsh, has been promoted to chair of a boutique Sydney advisory firm, having stepped down from the same position at Mason Stevens.
