The ATO has sharpened its focus on holiday homes and short-stay rental properties, particularly where owners are claiming deductions while also using the property themselves. With the rise of Airbnb and other short-term accommodation platforms, more property owners are earning income from properties that are not traditional long-term rentals. In response, the ATO has released new guidance aimed at clarifying when income must be declared and when deductions can be claimed. The message is...

As fringe benefits tax season approaches, work vehicles remain one of the most common areas of confusion for business owners. If your business owns or leases vehicles that are used by employees or directors, it is important to understand that fringe benefits tax may apply where there is private use. This continues to be an area of ATO focus, particularly where vehicles are held in companies or trusts and made available for personal use. The rules can be more complex than many people expect....

With the ATO continuing to focus heavily on work-related deductions, one of the most common issues that arises in reviews and audits is not whether an expense was potentially deductible, but whether the taxpayer can prove it. If you cannot demonstrate what you spent and why it relates to earning your income, the ATO may deny the claim, even where a concession applies.   The starting point: the taxpayer must prove the deduction For most deductions, the burden of proof sits with the taxpayer....