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Don’t Miss These Key ATO Deadlines: BAS & IAS Due in February 2025

Don’t Miss These Key ATO Deadlines: BAS & IAS Due in February 2025

by | Feb 18, 2025 | Uncategorized

As we settle into the new year, it’s crucial for business owners to stay on top of their tax obligations. The Australian Taxation Office (ATO) has set key deadlines for February 2025 that require your attention. Failing to meet these deadlines can result in penalties, so ensure you’re prepared ahead of time.

Important Dates to Remember

21 February 2025 – Monthly BAS Lodgment & Payment

If your business lodges Business Activity Statements (BAS) on a monthly basis, your December 2024 BAS is due for lodgment and payment by 21 February 2025. This applies to businesses registered for GST that report monthly.

28 February 2025 – Quarterly BAS & IAS Deadline

For businesses lodging on a quarterly basis, the October–December 2024 BAS must be submitted and paid by 28 February 2025. Additionally, if you are required to lodge a monthly Instalment Activity Statement (IAS) for Pay As You Go (PAYG) withholding tax, the January 2025 IAS is also due on this date.

Why Meeting These Deadlines Matters

Timely lodgment and payment of your BAS and IAS help you:

  • Avoid ATO penalties and interest charges
  • Maintain a good compliance record
  • Keep accurate cash flow planning for your business

ATO Updates & Announcements

The ATO regularly provides updates on tax obligations and potential changes to reporting requirements. If there are any recent announcements regarding lodgment extensions, payment deferrals, or relief measures, ensure you stay informed through official ATO communications.

Need Assistance? Lowrys Accountants Can Help

Navigating tax obligations can be complex, but you don’t have to manage it alone. At Lowrys Accountants, we provide expert BAS and IAS lodgment support, ensuring you meet your tax responsibilities on time and without hassle. If you have any concerns about your upcoming deadlines, reach out to us for guidance and tailored advice.

📩 Get in touch today to ensure your BAS and IAS are lodged on time!

Unlocking Fringe Benefits Tax (FBT) for Australian Employers: 2024-25 Guide

Unlocking Fringe Benefits Tax (FBT) for Australian Employers: 2024-25 Guide

by | Nov 4, 2024 | Business, Uncategorized

Fringe Benefits Tax (FBT) can often feel complex and daunting for Australian employers, but understanding it is essential to ensure your business remains compliant and avoids costly penalties. This guide breaks down FBT, explaining how it works and what you need to know for the 2024-25 tax year.

What Is FBT? FBT is a tax paid by employers on certain benefits provided to employees, their families, or associates. These benefits, known as “fringe benefits,” can include anything from company cars to low-rate loans, entertainment, or gym memberships.

Key Changes for 2024-25 The 2024-25 tax year brings some updates to FBT rules that employers should be aware of, including:

  • Exemptions for Electric Vehicles (EVs): If your business provides employees with electric vehicles, these may be exempt from FBT, provided the EV meets specific criteria.
  • Car Parking Benefits: The threshold for exempt car parking benefits has increased, and it’s crucial to assess how this might impact your FBT obligations.

Common Fringe Benefits Some of the most common types of fringe benefits include:

  • Car Benefits: If you provide an employee with a vehicle for private use, FBT applies.
  • Loan Benefits: Offering low-rate or interest-free loans to employees is considered a fringe benefit.
  • Expense Payments: Paying for employees’ personal expenses, such as school fees or rent, is subject to FBT.
  • Entertainment: Providing entertainment, such as meals or tickets to events, can also attract FBT.

Calculating FBT To calculate FBT, you need to determine the taxable value of the benefit provided. This involves considering factors like the employee’s use of the benefit and whether any employee contributions were made.

The FBT rate for the 2024-25 tax year remains at 47%, and the gross-up rate depends on whether the benefit is subject to GST:

  • Type 1 Benefits (GST credit available): Gross-up rate is 2.0802.
  • Type 2 Benefits (GST credit not available): Gross-up rate is 1.8868.

Recordkeeping and Reporting Accurate recordkeeping is essential to comply with FBT requirements. Employers need to keep documentation that clearly outlines the benefits provided, their value, and any employee contributions. FBT returns are lodged annually, with payment due in May each FBT year.

  • FBT calculations and lodgements
  • FBT exemption advice
  • Minimising FBT liability through tax planning

How Lowrys Can Help FBT compliance can be complex, but at Lowrys, we offer expert guidance to help you navigate these regulations smoothly. Our team can assist with:

Stay ahead of your FBT obligations with Lowrys by your side.