Login
iscover
Mid-tier firm BDO has today warned Aussie SMEs operating under a parent company that they could be unaware of a "raft of new reporting" required by the ATO.
Newsletter
New reporting requirements to hit Aussie accounting firms
08 September 2016
•
9 minute read
You’re out of free articles for this month
To continue reading the rest of this article, please log in.
Create free account to get unlimited news articles and more!
BDO urged Australian subsidiaries of foreign-owned multinational companies to communicate to their overseas head offices that they will need their assistance and support to comply with the new rules, including:
• Country-by-Country (CbC) reporting, which came into effect on 1 July 2016;
• The multinational anti-avoidance law (MAAL), which came into effect on 1 January 2016;
• The obligation to lodge general purpose financial statements with the ATO unless such statements have already been lodged with ASIC, for years commencing 1 July 2016 and later;
• The proposed diverted profits tax from 1 July 2017;
• The proposed increase in administrative penalties for late lodgement of documents and the doubling of the shortfall penalties for false or misleading statements from 1 July 2017.
==
==
“Many local Australian businesses that might be part of a larger global conglomerate may be unaware that if their parent company overseas is deemed a significant global entity then a raft of new reporting is required by the ATO,” said tax partner at BDO, Mark Molesworth.
“This is irrespective of the size of the Australian entity by itself – it could be quite small – but if its parent group meets the definition of a significant global entity, it will mean that the Australian entity has to ensure that it complies with the new requirements,” he added.
You are not authorised to post comments.
Comments will undergo moderation before they get published.