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Tax allows you to record supporting data that integrates to labels in the main return or to other worksheets that integrate to the main return. These are:

  • ELS schedules that are completed and lodged with the return.

  • Customised worksheets for calculation and record keeping purposes that are never lodged with the return.

  • Worksheets that are not lodged but will generate a lodgable schedule including Capital Gains and Depreciation.

  • A Generic Schedule which is never lodged with the return.

  • A Dissection Grid which is never lodged with the return.

Integration

When creating a schedule or worksheet the following points should be remembered, that where the schedule or worksheet integrates values to more than one item or label in the return, all related fields are greyed out and any changes that need to be made to those labels must be made in the supporting schedule or worksheet.

Creating new schedules or worksheets

These methods may be used to open the schedule or worksheet:

  • Where a label becomes highlighted on rollover, click the label to open the relevant schedule.

  • Where a schedule, worksheet or dialog is already attached the field will be greyed out. Click [Enter] to open the schedule.

  • Click on the required schedule in the Navigation pane which is divided into sections containing only those schedules and worksheets relevant to the particular form type; or

  • Click on the Schedule icon, if it is enabled.

  • Click Preparation > Schedule, for the full index of Schedules. To locate the schedule you want:

  • sort by schedule code, type the code and click [Enter]; or

  • sort by description, type the first few letters of the name and click [Enter]

  • The majority of worksheets may be selected from the Navigation pane under the heading Worksheets. The worksheets available are dependent on the return type being completed.

  • Capital Gains and Depreciation worksheets provide an Index of transactions and a checkbox to select to generate the version of the schedule to be lodged by ELS.

  • Where 'Quick access to...' is shown, enter 'Yes' to open the relevant schedule.

Deleting activity statements, schedules and worksheets

In Tax, activity statements, schedules and worksheets may be deleted when the client return is open.

Caution should be taken when dealing with the following worksheets:

  • Unless you want to the delete every capital gains event transaction or every depreciating asset and all its details, do NOT select to delete these worksheets from the main return. Individual asset transactions may be deleted from the Index of the relevant worksheet, the entire Index may only be deleted from the main return.

  • Where the schedule to be deleted integrates to another schedule, for example, if depreciation is integrated to the rental schedule and you want to delete the rental schedule, you must open the depreciation worksheet and turn off integration. Failure to do this will result in the system creating a blank rental schedule into which to 'put' the depreciation expense. Where there are a lot of assets, which might occur with rental or business income schedules, you can use the batch update routine to turn off integration for all relevant assets to the particular schedule or worksheet.

To delete activity statements, schedules and worksheets
  1. Click Preparation > Delete Schedules,

  2. Highlight the entry to be deleted.

  3. Click Delete.

(AE, Series 6 & 8) Copying schedules from one return to another return [F5]

Tax will copy a return or a schedule's contents to another return. To do this:

  1. Open the return or schedule/worksheet that is to be copied.

  2. Press [F5].

  3. Key the code of the return where the copy is to be placed

If you are copying an income tax return, select the checkbox for copy Names and Addresses as appropriate.

Separately lodged forms

Other forms that are lodged separately from the main return may be prepared while the main return is open by either selecting them from the ATO forms panel on the Navigation pane or from Preparation > Schedule and selecting the relevant schedule.

Agent's Report Requests (RR) and Client Preference advice forms (CP, L and Z)

To prepare and lodge these forms
  • For the Default Agent for the Practice as shown on the Control Record:

    1. Click Utilities > Lodgment Setup > Agent Request Form.

    2. Complete the form and click Output.

    3. The next time you log on to the ELS Gateway, this request will be lodged.

  • Default Agent for the practice: To create a Correspondence Preference Form CP and the relevant schedules L and Z for the Default Agent, click Utilities > Control Record > Correspondence Preference Tab. Complete the required correspondence types and click Lodge CP form.
    To lodge the CP immediately click Connect now from the Connect to the ATO screen or you can exit from that screen and the next time you log on to the ELS Gateway this form and its accompanying schedules will be lodged.
  • For any Agent other than the default Agent:

    Click Maintenance > Agents > Properties > Security Tab > Agent Request Form complete the request and click Output. The Request will be lodged next time you log on to the ELS gateway.

    If the Security Tab is greyed out, it indicates that this Agent is not registered to lodge via ELS but lodges under the Default Agent's Reference Number. An Agent must be registered with the ATO as an ELS lodger and have been provided with an ELS User ID and Passwords in order to use the functions on the Security Tab.

  • To create a Correspondence Preference Form CP and the relevant schedules L and Z, for any Agent other than the default Agent:

    Click Maintenance > Agents > Properties > Defaults Tab > Correspondence Preferences. Complete the required correspondence types and click Lodge CP form. The CP may be lodged immediately by selecting Connect now from the Connect to the ATO screen or you can exit from that screen and the next time you log on to the ELS Gateway, this form and its accompanying schedules will be lodged, along with any other returns batched for lodgment.

Special Conditions for Schedule W

Each year, the ATO writes to some Tax Agents and to many taxpayers advising them that they will be required to lodge a Work Related Expenses Schedule W for work-related deductions claimed in excess of $300.

If your Practice has received such an instruction from the ATO, the Schedule will always be lodged or you will be prompted to complete it, when the work-related deductions (D1 to D5) exceed $300, but you need to do the following:

Go to the Control Record > Defaults and tick the box Schedule W mandatory for E-Lodgment or if another lodging Agent in the Practice has been requested to lodge the Schedule W, go to the Maintenance > Agents > Properties > Defaults Tab to tick this box.

The ATO usually sends these advices about the requirement to lodge the Schedule W in May for the year ending 30th June. This is in good time for making the decision about what information from the previous year D1 to D5 items should go to which schedule or worksheet in the new tax year.

To set the roll-over defaults for the default Agent, select Utilities > Retain schedule data > Form I Tab and tick which of the 3 options is best suited to the practice. A shortcut to Agent Maintenance is provided on this screen to simplify accessing the schedule W defaults for other agents in the practice. Alternatively, select Maintenance > Agents > Properties > Defaults > Schedule W.

Other Attachments (att)

When an Other Attachments schedule is completed the question on the Front Cover of the income tax return regarding the schedule is completed for you.

[F9] Notes

Tax provides a basic Note writing facility whereby a note may be attached at most fields in income tax returns and supporting schedules.

This feature comprises two types of Notes:

  1. Master Notes (Substantiation Notes), and

  2. Practice Notes

Master Notes may be transferred to Practice Notes and edited to suit the Practice.

Practice Notes may be created by the practice and 'attached' to items in the return or be self-standing Notes that simply print with the return.

Substantiation Notes are a comprehensive set of Notes containing current substantiation requirements which are updated each year in accordance with changing legislation and requirements. If transferred to Practice Notes, they are not updated but are rolled forward from year to year. They contain functionality that allows the total values to be integrated to the main return or schedule label.

PAYG What-if Estimate Schedules

Where the Individual is liable to pay PAYG Instalments, a choice of 2 What-if PAYG Instalment estimates (Instalment Income by Base rate (xPI) or a GDP-Adjusted instalment estimate (xPG)) may be completed by opening the relevant one from the Preparation > Schedule menu and electing to use values from either the current year's or 2 prior years' returns.

If the taxable income in the return is altered after the PAYG estimate has been created, then, in order to have the values updated by Tax you will need to delete the xPI or xPG and select it again. Alternatively, you can edit the figures in the previously prepared PAYG What-if scenario.

Other PAYG Estimate schedules that this applies to are:

  • pgC - PAYG (Instalment Income Estimate) - Company Return

  • pgF - PAYG (Instalment Income Estimate) - Fund Returns

  • pgT - PAYG (Instalment Income Estimate) - Trust Return

Superannuation Contributions Surcharge (SCS) forms

SCS forms comprise the following schedules:

  • Supplier Provider form (MC) for 2008 and later income years

  • Member Details schedule (S) for 2008 and later income years

  • Supplier Provider form (SP) for 2007 and prior year returns

  • Member Statement (ES) for 2007 and prior year returns

  • Contributed Amounts data –Transfer-out R for 2007 and prior year returns.

For the 2008 and later years

The Super Provider, Super Supplier and Member details have been combined into one worksheet.

Self-managed superannuation funds may not complete the 2008 MC and S forms. Member details are contained in the SMSF annual return.

For the 2007 and prior income years

Both Funds and SMSFs will continue to use the SP and ES

A Super Provider form (SP) must accompany any member statements. To create one select Preparation > Schedule > Super Provider Form (SP), complete the form and select [F6] to save it and exit.

To create the Member Statement schedule (ES) select Preparation > Schedule > Super Member Data (ES). At the bottom of the ES enter 'Yes' to open the schedule R to enter any Contributed Amounts details and Transfer-out data.

The ES, together with the R, is a multiple schedule allowing many Member Statements to be lodged with the one Supplier Provider form.

AVAs for the 2008 and prior years may be used by both Funds and SMSFs.

Assessment Variation Advice forms (AVA forms)

AVA forms comprise the following schedules:

  • Superannuation Supplier/Provider data (SP)

  • Assessment Review data (SR)

  • Amounts Transfer-Out data (D)

A Super Provider form (SP) must accompany any variation advices. To create one select Preparation > Schedule > Super Provider Form (SP), complete the form and select [F6] to save it and exit.

To create the Assessment Variation Advice schedule (SR), select Preparation > Schedule > Super Variation Advice (ES). At the bottom of the ES enter 'Yes' to open the schedule D to enter any Assessment Review data and Amounts Transfer-out data.

The SR, together with the D, is a multiple schedule allowing many Assessment Variation Advices to be lodged with the one Supplier Provider form.

Sharing certain types of income between taxpayers

Tax provides sharing and distribution functions for the following types of income:

Capital Gains/Losses

To ensure that the share actually takes place and does not overwrite a previous share, each Asset description MUST differ from any other asset of the same category. For example, say the taxpayer has several lots of ANZ Shares owned jointly with the spouse, disposed of at different times during the income year. If both Assets are called 'ANZ Shares', the first asset shared will be correct, but the second asset shared will overwrite the first share in the spouse's return. The Shares should be named something like Lot 1 ANZ Shares and the second Lot 2 ANZ and so forth.

The Capital Gain/Loss share in the recipient's return has the heading Source Data:. Under this heading the return code, name from which the share arose and the details of the asset giving rise to the share are shown. These details are printed on the Capital Gains schedules.

Rental Properties

When shared, the address of the property is printed at the top of the rental schedule, together with the details of the return 'Distributed from'. When the Share button is selected in the rental schedule attached to the host return the relevant amounts from the gross column will be refreshed in the rental schedules attached to the returns for co-owners of the property. The co-owner can edit any amount in the Share Column to deal with situations where one owner incurs a larger portion of an expense than another. For full details on this procedure refer to Completing the Rental Schedule.

Partner and Beneficiary Distribution Statement worksheets

Partnerships: Each partner is provided with a 'profile' worksheet (the xP) which contains all of the partner's details, and the percentage share in that Partnership. These details roll forward from year to year and if they do not change from one year to the next, then all that is required, once data entry is complete, is to click [F8] or open the Distribution tab and click Distribute. The system will distribute the various income types and their respective credits in accordance with the Partnership percentage entered in the xP.

Trusts: Each Beneficiary of a Trust is provided with a 'profile' worksheet (the xT) which contains, all the beneficiary's personal details, which roll forward from year to year. If the distribution to the beneficiary can be converted to a percentage, then the system would calculate and distribute the various income types and their respective credits in accordance with the Beneficiary percentage entered in the xT.

This would mean that the xT would only need to be opened to confirm that the beneficiary is to receive a distribution this year and to enter the percentage of that distribution.

Alternatively, you will have to distribute the income into each beneficiary's profile worksheet.

Once done, click [F8] at the Distribution tab or from any position in the Trust return and the system will advise of any discrepancy between the amounts distributed and the amounts available to be distributed. It will then put those undistributed amounts in the column Labels that are Income to which no beneficiary is presently entitled. If the income is income to which no beneficiary is presently entitled, you have nothing to do. Alternatively, you will need to check and correct the amounts distributed in the various xT worksheets.

What-if Calculator for Individuals and Trusts (AE/Series 6 & 8)

By selecting Preparation > Calculation > What-If, you may create a standalone calculation or retrieve the balances from the current return for the client (Individual or Trust).

Changes made to a What-if calculation do not flow back to Tax and you may create multiple tax scenarios for any one client. [F1] Help provides detailed instructions on how to use the What-if calculator.