ATO'S focus areas for tax time 2022

 At a glance

Over the past few years, the Australian Taxation Office has maintained a sharp focus on work-related expenses, rental property deductions, cryptocurrency and the private use of business assets.

Incorrect claims often stem from poor record-keeping, a lack of awareness around tax obligations and a misunderstanding of the rules.

Tax practitioners are advised to start helping clients set some new financial year resolutions, such as investing in digital accounting software, considering e-invoicing and improving their record-keeping.

Completing the tax return

The range of services provided by tax agents expands each year, and it’s a good idea for practitioners to regularly review their letters of engagement.

This may include whether or not the practitioner will perform any follow-up action required by the client or the ATO, or whether the engagement includes assurance of tax records.

The ATO is gathering and data-matching more information than ever. Maximise the use of information that is available and ask clients about unexpected items or large variations from prior years.

Game of balance

I had to go back to basics. I needed to reach out to my mentors for guidance. 

You cannot impart commercial or strategic advice without knowing the business end to end. There is shift in mindset from simply leading the finance team to leading the business. People want CFOs they can both trust and respect.

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