The ATO is reminding business owners that if they earn business and investment income over the ‘entry threshold’, they may be automatically entered into pay as you go ('PAYG') instalments.
Individuals (including sole traders) or trusts will automatically enter the PAYG instalments system if they have:
A company or super fund will automatically enter the PAYG instalments system if:
The ATO will let practitioners know when a client has entered the PAYG instalment system, what they need to pay and their lodgement dates.
Clients will then generally lodge their instalments on their business activity statement or instalment notice at the end of each month or quarter.
If clients are entered into PAYG instalments, PAYG instalment data will be included in their income tax pre-filling reports, which can be accessed in both Online services for agents and the Practitioner lodgement service (if using Standard Business Reporting enabled software).
Visit the ATO website for more information.