October 2025 Newsletter

Contents:

ATO warning as businesses investigated in surprise blitz
Age Pension income, assets cut-off limits set for major change
A Freedom of Information search may prove handy in a dispute
Right to Disconnect – Now extending to small businesses
What a recent decision means for redundancies and redeployment
Retirement income expectations hit new highs
Announcements

ATO warning as businesses investigated in surprise blitz

The ATO and Fair Work Ombudsman have issued a fresh warning to businesses that they can’t get away with exploiting workers or ripping off the community.

The Australian Taxation Office (ATO) and the Fair Work Ombudsman have conducted a series of “surprise visits” to food sector and hospitality businesses suspected of doing the wrong thing. It comes amid a fresh warning to businesses trying to dodge their tax, superannuation and employer obligations that they will be found out.

Age Pension income, assets cut-off limits set for major change

The cut off thresholds for the Centrelink payment’s income and assets tests will be going up in line with inflation.

Australians on the Age Pension are set to have a bit more breathing room under changes being actioned in a few weeks. Not only will their payments go up on September 20 to keep pace with inflation, but also the cut-off limits for the income and assets tests.

A Freedom of Information search may prove handy in a dispute

Freedom of Information (FOI) laws provides individuals and private entities with powerful rights to access information held by government bodies.
This article considers a taxpayer’s rights to make an FOI request to obtain information from the ATO in respect of their tax affairs. We discuss who can and how to lodge a request, the likely associated timing and costs, what information is excluded and the review options if you are dissatisfied.

Right to Disconnect – Now extending to small businesses

Right to Disconnect will cover small businesses, giving employees the right to refuse after-hours work contact.
Are you a small business with fewer than 15 employees? Here is some big news: from 26 August 2025, the Right to Disconnect will apply.
This policy first took effect for larger businesses (15 or more employees) on 26 August 2024. Smaller businesses were given an extra 12 months to adjust before it comes into force for them.

What a recent decision means for redundancies and redeployment

A recent High Court decision reshapes redundancy and redeployment rules. Learn what employers must consider before making workforce changes.
A recent decision by the High Court in the case of Helensburgh Coal Pty Ltd v Bartley [2025] HCA 29 has reinforced the range of factors businesses should consider when making roles redundant – especially what redeployment obligations employers might have. This article explains what the Court said and what it means for companies planning to restructure or terminate people by reason of redundancy.

Retirement income expectations hit new highs

The How Australia Retires 2025 report explores how Australians are preparing for and experiencing retirement.
Based on a nationally representative survey of over 1,800 Australians conducted in February 2025, the report examines financial and retirement literacy, expectations versus realities of retirement, the role of housing and overall retirement sentiment and confidence.

Announcements:

This month we congratulate Kelly (2) and Tony (20) on achieving significant work anniversary with us. We also wish a very Happy Birthday to Grant, Nicole & Tony who celebrate birthdays this month!

Important ATO Dates

Lodgement Program	Date
September monthly activity statements	21/10/25
Quarter 1 (July–September) PAYG instalment activity statement	21/10/25
Annual PAYG instalment notice	21/10/25
Quarter 1 (July–September) activity statements	28/10/25
Quarter 1 (July–September) instalment notices (forms S and T)	28/10/25
Final date for electing to pay GST by instalments	28/10/25
Quarter 1 (July–September) instalment notices (forms R and T)	28/10/25
Quarter 1 (July–September) – super guarantee contributions	28/10/25

Other News

ATO Issuing Default Assessments

The Australian Tax Office (ATO) prefers to help taxpayers meet their lodgment obligations, but if those obligations are overdue, the ATO can issue a default assessment.

A default assessment is an estimate of your taxable income or net amount for overdue tax returns or activity statements. The ATO can apply a significant administrative penalty of 75% of the tax-related liability, which can increase to 90% in cases of repeated non-compliance. An additional penalty for failing to lodge on time may also apply.

Xero Me App Changes – Passkeys required on the Xero Me app from 8th September 2025

Starting Monday, 8th September 2025, everyone using Xero Me will need a passkey to access their account. A passkey is a secure way to log in using your fingerprint or face recognition instead of a password – it’s faster and more secure than typing in a password or a code. If an employee doesn’t have a passkey set up by 8th September, they’ll be logged out and will need to complete the setup before they can get back in. Setting up a passkey is simple – employees just need to log out of the Xero Me app and log back in. They’ll be prompted to set up their passkey during the login process, which takes less than a minute to complete. For detailed step-by-step instructions, check out our Xero Central guide.

Important Reminder re Rupanyup Mail

To ensure all correspondence and documents are processed efficiently and without delay, please refrain from sending mail to our PO Box 95 Rupanyup, Victoria 3388 address.

Going forward, please use mailing address: PO Box 118 Horsham, VIC 3402

Please update your records with this new address. The above change also affects mail you have going directly from your financial institutions to us like bank, broker, real estate statements etc.

We appreciate your cooperation and attention to this matter. If you have any questions, please don’t hesitate to reach out.

All the best from the Watts Price Team!