The ATO now advise.....
There's no need to turn clients away if you have the capacity to bring that client up to date with their lodgments. To give you time to prepare and lodge any overdue returns you can request a lodgment deferral for the current year income tax return.
Bookkeepers and BAS Agents Impact
ICB are constantly asked about the impact of adding a new client with outstanding lodgements to the BAS Agents client list.
Our discussions with the ATO are consistent with the above concept;
- Add the client
- Advise the ATO (secure mail on the portal) that you have just taken on the client and are now working to bring their lodgements up to date
- Occasionally this triggers compliance correspondence from the ATO. If it does, lodge a formal complaint with them and then also let ICB know. The ATO are encouraging you to add such clients and therefore they should then work with you in a co-operative manner.
Please note that there is no 85% or any other lodgement requirement on a BAS Agent. (That concept applies to Tax Agents lodgements of tax returns).
Refer them to Lodgement Deferrals for Registered Agents from the ATO.