How can the ATO help small businesses succeed Tim Roach Australian Tax Office Who should you trust?

Contemporary Tax Administration - Supporting an environment for business success Presented by Tim Roach Assistant Commissioner Australian Taxation Office March 2017

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Design Principles of Administration Make it easy to comply and difficult not to Provide certainty Influence norms through the use of behavioural insights Involve taxpayers and stakeholders in the design and delivery Use natural systems

What is Reinventing the ATO? “ Reinvention is about challenging and stretching ourselves, experimenting with different ways of working and trying new things that push us towards improvements.” - CHRIS JORDAN

Transforming the small business experience “From cops to coaches…things are changing in the Australian Taxation Office – and that change has come from within.” (Stephen Easton - The Mandarin) From To Minimal engagement at registration Proactive early engagement and education Expecting small businesses to know what to do, when and how Timely prompts with information on ‘what to do, when to do it and how to do it’ Using risk models to identify problems after they arise Using data for services to prevent problems Enforcement compliance approach Assurance engagement with assistance to build understanding and compliance Responding after objections and disputes arise Early engagement to listen, clarify potential issues and resolve disputes 6 6

Every Year Counts 7

Tax and BAS Agent Portals The Tax Institute Tax and BAS Agent Portals Building new portals on the ATO Online platform (the same platform used for MyTax and the Client Communication List) Testing commenced with some Agents from different sized practices in November last year. 8

New Portal Homepage EXAMPLE

New Client Summary Page EXAMPLE

Practitioner Lodgment Service The Tax Institute Practitioner Lodgment Service Practitioner Lodgment Service (PLS) will gradually replace the Electronic Lodgment Service (ELS) Since 31 March 2017 FBT returns can only be lodged through PLS Other forms, services and reports will switch to PLS progressively from 30 September 2017. We will continue to consult with Software Providers and the Profession as this date approaches 11

Communication Preferencing The Tax Institute Communication Preferencing Control Visibility Relevance Choice 12

The ATO app Access tax & superannuation Information on the go Features include: online services including myTax voice authentication tools and calculators reminders and alerts access to ABN Lookup business performance check tool benchmarks. Send expense information to you over email or pre-fill 13 13

The Tax Institute Simpler BAS From 1 July 2017, small businesses will only be required to report: 1A GST on sales 1B GST on purchases G1 Total sales. 14

Single Touch Payroll (STP) The Tax Institute Single Touch Payroll (STP) All employers can choose to start STP reporting from 1 July 2017 if they are using an STP certified product. From 1 July 2018, employers with 20 or more employees must be part of the STP reporting. 15

Streamlining Registration The Tax Institute Streamlining Registration 16

Cash flow management education Designed in collaboration: used at different stages of business prevent cash flow problems intervene early to get back on track empowers business to take action simple language and concepts 17 17

New business – education contact through first year New-to-business welcome email whole of government support understand registrations plan for success go online, save time find help & support quarterly emails linked to education tips free assistance programs online & face to face 18 18

Online Services Small Business Record Keeping tool ato.gov.au New to Excise or Wine Equalisation Tax Employee/contractor tool Fuel Tax Credits tool SuperStream Taking on an employee checklist Voice Authentication Alex Virtual Assistant Personal Services Income tool Small business newsroom 19

Helping Tax Professionals The Tax Institute Services & Support Helping Tax Professionals 20