ATO Latest News: Changes affecting Employers
Are you paying the correct amount of super guarantee?
From 1 July 2014 the super guarantee rate increased from 9.25% to 9.5%.
You may need to contact your accounting software provider to ensure you’re paying the correct rate.
Are you using the correct tax tables?
From 1 July 2014 PAYG withholding has been affected by:
- The introduction of the Temporary Budget Repair levy (2%) for income over $180,000
- Medicare levy rate increase to 2.0%.
- FBT rate temporarily increased to 49%.
- From the beginning of the next fringe benefits tax (FBT) year, starting 1 April 2015, the FBT rate will temporarily increase from 47% to 49%.
- The changes to the FBT rate apply across the board, not just for high income earners. The gross-up rates, which are linked to the FBT rate, will also change.
- Withholding rate where TFN not quoted temporarily increased to 49% from 1 July 2014.
- You must withhold 49% from any payment you make to an employee if they have not provided you with their TFN or claimed an exemption.
- Withholding rate where ABN not quoted temporarily increased to 49% from 1 July 2014.
- If a business supplies you with goods or services and they don’t quote their ABN, you must withhold 49% from the payment you make to them and send the withheld amount to us.