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ATO pays businesses $150 to vent on client-agent linking

Profession
11 March 2024
ato pays businesses 150 to vent on client agent linking

The Tax Office plans to hold a series of paid consults with taxpayers who have recently been through the revised system, according to a letter sent out to their agents last week.

The ATO will pay businesses $150 to air out their grievances with client-agent linking as part of a review underway to troubleshoot the process that has frustrated taxpayers and their agents since its inception.

The office said it would be canvassing their opinions in a series of consultations in mid-March and called on tax agents to share details of clients who have recently been through the process, according to a letter sent last week.

“Do you have any business clients who have been through the client-agent linking process recently?” the letter asked. “We need your help!”

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"The ATO is currently speaking with agents as part of our review of the new client-agent linking process. We would also like to hear from businesses who have been through the linking process to get their perspective on what worked well, and where we could make improvements.”

“Simply nominate a business client (or two) who might be willing to speak with us about their experience,” the ATO wrote.

Consultations would last up to 60 minutes and take place between March 12-15.

"We are offering payment of $150 plus GST as a small incentive for their assistance,” the letter said.

The ATO’s cash deal to tempt businesses back to the table comes nearly four months after the client-agent linking system became mandatory for all ABN holders in mid-November.

Critics have lambasted the system, which puts the onus on a client to initiate the connection with a tax agent, as an “administrative nightmare”, “cumbersome” and “poorly implemented”.

As part of the multi-stage linking process, businesses must link their myGovID with their ABN through the ATO’s Relationship Authorisation Manager (RAM), before nominating a new agent through the Online Services for Business portal.

But many had issues removing old agents, acquiring myGovIDs and using RAM due to outdated ABR details, with the process especially taxing on smaller businesses that lacked the resources and know-how to navigate the ATO’s online systems.

Matthew Addison, executive director at the Institute of Certified Bookkeepers, told Accountants Daily last month that the multi-stage process was so “cumbersome and antiquated” that it had driven many businesses away from the ATO.

“Business owners are saying it is just too hard, so I won’t lodge my taxes; no more BAS, no more payroll lodgements, no more tax payments until the ATO allows the agent to be connected,” he said.

“The consequence is very annoyed taxpayers who are disconnecting from the tax system.”

About the author

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Christine Chen is a graduate journalist at Accountants Daily and Accounting Times, the leading sources of news, insight, and educational content for professionals in the accounting sector. Previously, Christine has written for City Hub, the South Sydney Herald and Honi Soit. She has also produced online content for LegalVision and completed internships at EY and Deloitte. Christine has a commerce degree from the University of Western Australia and is studying a Juris Doctor degree at the University of Sydney.

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