Small business bookkeeping and tax:
TFN DECLARATIONS CAN NOW BE DOWNLOADED ONLINE:
Before this change was announced by the ATO, a TFN declaration form would supposedly needed to be an original document issued by the tax office available at news agencies or the ATO customer service locations. Now an editable PDF document could be downloaded right from the ATO website filled out and then printed off, signed and posted directly to the tax office for your employees.
“Your tax file number (TFN) is your personal reference number in the tax and super systems) (ATO 2016)”
In general, any employees who work in Australia is recommended to have one tax file number which is used for life and treated as their identities. Without TFN, tax payers are expected to make higher tax payments; they might not be able to apply for social welfare, electronically lodge their tax returns nor get an Australia business number (ABN).
Once a TFN has been granted, before you start working a TFN declaration form needs to be completed to let your prospective employers know how much tax to withheld from your pay. The same form needs to be posted to the ATO too.
There are 4 easy steps to completing a TFN declaration form or getting it done for your employees:
Step 1: Download TFN declaration form from www.ato.gov.au/TFNdec
Step 2: Fill it in on the screen.
Step 3: Print the filled form off, and sign it
Step 4: Send the original/hard copy with the applicant’s signature to ATO using the address on the form
***Please remember to keep a copy for your records
If you are unsure about the process, we are more than happy to assist you.
If you are a business owner and need more understanding about small business bookkeeping or tax compliance related issues, kindly contact one of our Accountants.
ATO 2017, “TFN declaration forms can now be downloaded”, 25st January 2017