Fed: Small businesses suffering under new ATO system: ICAA

AAP General News (Australia)
08-13-2001
Fed: Small businesses suffering under new ATO system: ICAA

Accountants say small businesses face extra costs because of an Australian Tax Office
system to account for each taxpayers' tax debt.

The Institute of Chartered Accountants says an increasing number of taxpayers and accountants
are reporting systemic problems with the running balance account system.

Institute counsel, BRIAN SHEPPARD, says the problem is not only on tax debts, but also
when the ATO owes money to taxpayers.

He says it takes time and costs money for tax advisers to rectify each problem created
by the faults in the new system.

And he says the account statements are difficult to understand and are not issued regularly.

Interest on any debt to the ATO accrues daily, making it difficult to clear any outstanding
balance.

The institute says it's taken the issues up with the ATO but has not received any real
commitment to fix the problems.

AAP RTV jph/sw/jas/

KEYWORD: TAX ICAA (CANBERRA)

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