Software
glitches
extend tax deadline |
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By Siobhan Chapman
www.thestandard.com.au |
Wednesday, August 8, 2001 |
Glitches in, and
the lack of tax software are hampering accountants from meeting electronic
taxation lodgement deadlines.
Accountants' group CPA Australia said software companies' failure
to keep up with the Federal Government's late changes to income tax
return rules has hit up to 40 per cent, or some 5000, of tax agents.
CPA Australia has called for an extension to deadlines as a result
of the software issues.
Several software producers, including MYOB and Solution 6, have been
slow in getting their Electronic Lodgement Service software packages
such as the Income Tax Return software and Business Activity Statement
(BAS) software to tax agents.
Garry Addison, senior tax consultant at CPA Australia, said some software
producers have been too quick to roll out products that still have
glitches and are a problem for agents to use because of the Government's
redesign of BAS forms.
"The problem is twofold, either the software producer has not made
the software available, or in some cases there have been outstanding
glitches in the program. This has impacted on tax agents' ability
to meet lodgement deadlines; the software was supposed to be available
in June or July," Addison said.
He said MYOB was the worst hit and its customers may need a one-month
extension, while others such as Solution 6 will need an additional
14 days.
Greg Johnson, chief executive for the professional services division
of Solution 6, said the huge compliance changes in tax legislation,
with such short notice, made the changes to the software expensive
and a lot more hard work.
Johnson said there were about 4000 changes to the software that needed
to be made in less than three months.
"There will be software glitches, particularly given the amount of
change that went into this on such short notice," Johnson said.
Development costs have risen considerably as a result of changes to
tax legislation. Johnson said it is now costing Solution 6 about 50
per cent more than it did three years ago, the year before GST came
in.
The Australian Tax Office has granted a two-week extension for tax
agents using software for lodging the BAS.
Addison said the delays have also hit agents' ability to lodge company
superannuation returns.
The update for MYOB's BAS has been delayed and was expected to be
released yesterday. |
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