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InFocus December 2023 - Volume 32 Issue 10

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Christmas closedown - we're still online this festive season

Telephone and online enquiry services will be unavailable from 12:00 PM EDST Friday 22 December 2023, re-opening at 8:30 AM on Tuesday, 2 January 2024.

During the closedown, you can still access our online services:

For business names, if you have an existing Australian Business Number (ABN), you can apply to register a business name via Business Registration Services (BRS) or ASIC Connect. ASIC Connect can also be used to maintain/renew existing business names.

For companies and professional registers, you can lodge documents with us online using our online portal.

For search products you can use ASIC Connect to search our registers and purchase any documents you need.

A reminder for registered agents to have arrangements in place to ensure your customers won’t incur late fees during the closedown period.

Find out more information about our Christmas closedown and the BRS.

Avoid late fees this new year!

The lead-up to the holiday season is often busy and it can be easy to overlook important deadlines. Before the end of the year, make sure all your company details are up to date. Otherwise, your first task in the new year might be dealing with a late fee!

Company officeholders are responsible for making sure the company lodges their documents on time. Most updates need to be made within 28 days of the change. If ASIC is notified outside of this period, you'll be charged a $93 late fee (if it's up to a month late) or a $387 late fee (if it's over a month late).

Paper forms are only considered lodged once received by ASIC. If a paper form is due for lodgement before the Christmas closedown, and we don’t receive it before Friday 22 December 2023 12:00 PM AEDT, a late fee will apply.

Read more about lodging documents during Christmas closedown on our website.

For information about the changes you need to let us know about, see Changes to your company.

If you want to check or update your company details, you can do so by logging into your account.

Reminder: Form 388 'reason for lodgement'

When lodging a form 388 Copy of financial statements and reports, it’s important your ‘reason for lodgement’ selection is correct, as it influences your financial reporting obligations. 

Selecting a less appropriate option during lodgement could result in the company receiving a non-compliance letter, even if it has previously complied with the submission.

Visit the ASIC website for a comprehensive user guide on submitting a Form 388.

Officeholders & registered agents: fees and fee waivers

Company officeholders must be aware that when a registered agent is appointed, the annual statement will be issued to the registered agent electronically or by mail.
The arrangement for a registered agent to manage document lodgements and handle the receipt and delivery of the annual statement on behalf of the company is an agreement between the two parties.

ASIC sets high standards for compliance with obligations as specified in the Corporations Act 2001 and in the ASIC Registered Agents Terms and Conditions. Both company officeholders and registered agents are expected to meet these obligations, and any failure to do so is regarded as a third-party matter between the company and the agent.

Annual statement

The annual statement is issued within 14 days from the company's review date. ASIC allows a two-month period for the payment of the annual review fee and late payment fees apply after this period. 

If late fees are incurred, ASIC promptly sends an invoice for late payment directly to the officeholder. In these situations, company officeholders should immediately reach out to their appointed registered agent as the primary point of contact.

Forms and document lodgements to ASIC

Registered agents may lodge documents on behalf of the companies. Company officeholders must be aware of the prescribed lodging period for certain documents and failure to lodge within this time will incur late lodgement fee(s).

Fees and Fee waivers

ASIC has limited power to waive fees. We can only consider waiving late fees if lodgement was beyond the control of all representatives of the entity, preventing them from lodging or making payments on time. ASIC will not waive fees when:

  • the company claims to have not received their annual statement package from their appointed registered agent; or
  • the appointed registered agent or its representatives failed to lodge on time.

ASIC deems these issues as 'third-party' matters and which do not meet the criteria for ASIC to waive the late fee(s).

Visit our website has great information to assist officeholders and registered agents to be compliant.

'Grandfathered' large proprietary companies: exemptions no longer available

'Grandfathered' large proprietary companies were previously obligated to prepare audited financial reports, but were exempt from lodging them with ASIC if they met the criteria outlined in section 319(4) of the Corporations Act 2001.

Due to amendments, this exemption is now only applicable to 'grandfathered' large proprietary companies for financial years ending before 9 August 2022.

For financial years ending after 9 August 2022, 'grandfathered' large proprietary companies are now required to lodge their audited financial reports with ASIC.

We strongly encourage 'grandfathered' large proprietary companies to review their financial obligations in light of these amendments and ensure they are compliant.

Visit the ASIC website for more information about ‘Grandfathered’ large proprietary companies.

ASIC enforcement priorities

ASIC recently released its enforcement priorities for 2024.

This includes a focus on misconduct by financial services and credit providers who engage in misconduct in their dealings with small business, including unlawful credit activity, unfair contract terms and insurance claims handling misconduct.

ASIC Deputy Chair, Sarah Court provides further insight into the 2024 priorities in her enforcement session opening remarks from the ASIC Annual Forum.

Forget something on your tax return?

It’s easy to fix up an already lodged tax return by lodging what’s called an amended tax return, and the good part is – you generally have two years to do this!

Once you’ve received your notice of assessment, you can easily fix your return through:

  • your registered tax agent,
  • Standard Business Reporting (SBR)-enabled software,
  • online services for business, or
  • sending a letter or via myGov if you're a sole trader.

Find out more at ato.gov.au/amendareturn.

 

Last updated: 22/02/2024 01:00