More Time to Get It Right: ATO Extends Tax Amendment Period for Small Businesses
Mistakes on tax returns can happen, even with the best intentions and the most organised spreadsheets. That’s why a recent change from the ATO will be welcome news for many businesses and farming families.
From the 2024–25 financial year onwards, businesses with an annual aggregated turnover of less than $50 million will now have up to four years to request an amendment to their tax return – that’s double the previous timeframe of two years.
What does this mean for you?
If you realise you’ve made an error after lodging your return, you now have more time to fix it. This is particularly good news for busy business owners juggling multiple responsibilities or navigating a complex structure.
However, the ATO has made it clear that amendment requests should be submitted well before the four-year deadline, so they can be processed in time.
A few things to keep in mind:
- The extended timeframe applies to tax return assessments for 2024–25 and future income years
- Your business must have an aggregated turnover of under $50 million to qualify
- You’ll need to provide accurate records to support any amendments you request
- If you’re unsure whether something needs correcting, speak to your accountant or adviser early
Need Help Navigating the Changes?
Tax rules are always evolving, and it pays to stay on the front foot. If you’re unsure how this new amendment might affect your business, our team can help you review your position and ensure everything is in order.
Get in touch today: Contact us.
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