ATO Remission of Interest Charges & Penalties – What Accountants Need to Know in 2026
ATO Remission of Interest Charges & Penalties – What Accountants Need to Know in 2026 As clients continue to navigate tax pressures and mounting ATO liabilities, understanding the current remission framework is more important than ever. Recent procedural changes and shifts in interest deductibility mean accountants should closely review how they prepare, document, and submit […]
The Rapid Decline in SBR Activity: What It Means for Accountants and Their Clients
The Rapid Decline in SBR Activity: What It Means for Accountants and Their Clients Small Business Restructuring (SBR) was designed to help viable businesses manage financial distress without losing control. Following a strong uptake of the process throughout 2024 and a repaid start in 2025, SBR activity has fallen dramatically. This trend raises critical questions […]
Small Business Restructuring (SBR) in 2025: Key Trends and Insights for Accountants
Small Business Restructuring (SBR) in 2025: Key Trends and Insights for Accountants Small Business Restructuring (SBR) has emerged as a pivotal tool for financially distressed companies. Recent data from the Australian Securities and Investments Commission (ASIC) and our own observations and insights highlight significant trends and considerations for accountants advising clients on SBR. Surge in […]
Rising Company Insolvencies in Australia: Implications for Financial Stability
Rising Company Insolvencies in Australia: Implications for Financial Stability The Reserve Bank of Australia’s (RBA) April 2025 Financial Stability Review highlights a notable increase in company insolvencies. While this trend reflects challenging economic conditions and a post-pandemic adjustment, the overall risk to Australia’s financial stability remains contained. Understanding the Rise in Insolvencies Insolvency, the most […]
Extortionate Credit Arrangements: What Accountants Should Know Under Section 588FD
Extortionate Credit Arrangements: What accounts should know under Section 588FD As companies experience financial distress, directors may resort to high-risk lenders offering quick finance with harsh terms. While these arrangements can appear to provide short-term relief, they can later be challenged in liquidation if deemed extortionate. Under section 588FD of the Corporations Act 2001 (Cth), […]
ATO Interest Charges Hit Harder: Tax Deductions Gone from 1 July 2025
The Federal Government has announced that from 1 July 2025, (subject to the measures being introduced as law) businesses and individuals will no longer be able to claim a tax deduction for interest charges imposed by the Australian Taxation Office (ATO). This change, announced in the 2023–24 Mid-Year Economic and Fiscal Outlook, , reflects a significant […]
Small Business Restructuring (SBR) – Eligibility and Benefits
Small Business Restructure (SBR) – Eligibility and benefits The SBR legislation was enacted in 2021 and allows eligible SMEs to compromise their debts with creditors through a simplified and streamline process and return the company to viability. The popularity of SBRs has increased dramatically in 2024. In 2024, 770 companies undertook a SBR, compared 329 […]
Understanding the ATO’s Data-Matching Programs
A Guide for Accountants The Australian Taxation Office (ATO) has ramped up its efforts to ensure compliance by using sophisticated data-matching programs. These programs cross-reference information from various sources to identify discrepancies in tax reporting. For accountants, staying informed about these programs is crucial, as they can significantly impact both individual and business clients. This […]
Understanding the Low Adoption of Simplified Liquidations: What Accountants Need to Know
Understanding the Low Adoption of Simplified Liquidations: What Accountants Need to Know Since the introduction of the simplified liquidation reforms in 2021, there has been a surprisingly low uptake of this process among companies facing insolvency. The Australian Securities and Investments Commission (ASIC) has recently released a report highlighting this issue, which is particularly relevant […]
Superannuation as an employee entitlement under the National Employment Standards
From 1 January 2024, superannuation will be introduced as an employee entitlement under the National Employment Standards (NES). This means that all eligible employees have a right to superannuation contributions from their employer, regardless of whether they are covered by an award or enterprise agreement.