What you need to do
To help you meet the on-time lodgment benchmark, we recommend you:
- keep your client list up to date, as all clients with a lodgment obligation who are linked to your registered agent number are included in the lodgment performance calculation
- notify us if your client does not need to lodge a tax return in any given year, as the performance calculation is based on clients with an expected lodgment
- regularly check your lodgment performance through Online services for agents to keep track of where your practice is up to.
If you engage new clients (or re-engage previous clients), you may be able to request a new or re-engaged client deferral. This will give you time to bring their lodgments up to date without affecting your on-time lodgment performance.
Find out how we can help if you are experiencing difficulties lodging by a due date or meeting the lodgment performance benchmark.
Update your client list
All clients with an expected lodgment who are attached to your registered agent number will be included in your 85% on-time lodgment performance calculation.
Keeping your client list up to date will:
- help your practice to manage client due dates
- ensure that taxpayers who no longer use your services are not included in your lodgment program performance calculation.
You can update your client list using Online services for agents or the practitioner lodgment service.
The client lists produced by these online services may provide different views of your clients’ details.
Notify us if a return is not necessary
Clients attached to your registered agent number with an expected lodgment will be included in your on-time lodgment performance calculation. If a client is not required to lodge a tax return or FBT return, notify us if lodgment is not required before the due date so we can update our records.
A return not necessary (RNN) or further return not necessary (FRNN), also known as a non-lodgment advice, lets us know that your client has no obligation to lodge a tax return for either a specified year, or in the future. You can submit a non-lodgment advice for your client through Online services for agents or the practitioner lodgment service.
A RNN advises us that a tax return is not required for one financial year only. If you submit a RNN for your client, their tax return will be expected to be lodged in future years.
If you notify us of a further return not necessary (FRNN), a lodgment will not be expected for your client this year or in the future. However, lodging a FRNN or notifying us that a return is a final return for your client does not remove the client link in ATO systems. You can remove former clients from your client list in Online services for agents or your practice software.
To advise us that your client does not have to lodge an FBT return for a particular year, submit an FBT non-lodgment advice form via Practice mail in Online services for agents using the:
- topic Fringe benefits tax (FBT)
- subject FBT non-lodgment advice and FBT returns.
It may take up to 28 days to process your FBT non-lodgment advice request. Submit your form early to ensure your performance measurement is accurate.
Check your on-time lodgment performance
You can monitor your on-time lodgment performance for income tax returns online through Online services for agents. The information for the current lodgment program year is updated every week and provides a snapshot of the number of income tax returns:
- lodged on time or late
- overdue
- expected to be lodged.
If you have fringe benefits tax (FBT) clients linked to your registered agent number, you can also track your FBT on-time lodgment performance online between 1 April and 31 October.
New or re-engaged clients
If you engage new clients (or re-engage previous clients) with overdue prior year tax returns, your on-time lodgment performance will only be affected if you lodge the current year’s return after the due date or deferred due date.
To give you time to bring their lodgments up to date without affecting your lodgment performance, you may be able to request deferrals for new or re-engaged clients with overdue returns. This may provide you with:
- a lodgment deferral for their current year income tax return due on 31 October
- suspension of compliance action on their prior year returns.