TITLE: Key Tax and Super Compliance Updates for Australian Businesses: August 2026
Australian businesses face several important compliance developments this week. The ATO is increasing scrutiny of alcohol excise remission claims, proposed SMSF reforms could strengthen consumer protection, and the 28 August TPAR deadline is approaching quickly.
Cross-border businesses should also review the updated transfer-pricing guidance for inbound distribution arrangements. This update is particularly relevant to Australian ecommerce and digital businesses with related entities overseas.
ATO targets misuse of the alcohol manufacturers remission scheme
The ATO has announced stronger compliance action against businesses attempting to exploit the Alcohol Manufacturers Remission Scheme.
From 1 July 2026, the scheme provides a remission of excise on the first $400,000 of eligible alcohol entered for home consumption in Australia by an eligible manufacturer during each financial year. The increase from the previous $350,000 cap is intended to support genuine small and emerging alcohol manufacturers.
However, the ATO is concerned that some operators may be using artificial structures or minimal manufacturing activity to claim the concession. The focus is now moving towards whether businesses are genuinely manufacturing eligible alcohol and operating independently.
The ATO’s scrutiny is increasing for:
- New excise licence applicants.
- Businesses in their first two years of operation.
- Businesses using shared premises or equipment.
- Arrangements involving common owners, directors or key personnel.
- Businesses claiming remission without evidence of genuine manufacturing activity.
- Operators that appear to be diluting or blending alcohol rather than carrying out the required manufacturing processes.
The ATO has also indicated that targeted reviews will examine whether businesses continue to meet the legal and economic independence requirements of the scheme.
Maintain accurate excise records from day one
If your business manufactures eligible alcohol in Australia, maintain a complete audit trail for every claim. This should include:
- Production and batch records.
- Details of raw materials and alcohol inputs.
- Evidence of fermentation or distillation activity.
- Excise returns and remission calculations.
- Inventory movements.
- Sales and distribution records.
- Equipment ownership or lease documents.
- Premises agreements.
- Agreements with contract manufacturers.
- Records supporting legal and economic independence.
Do not claim the remission simply because your business holds an excise licence. The records must demonstrate that the activity, product and business structure meet the relevant requirements.
The ATO remission scheme guidance explains the eligibility and claiming framework. The compliance crackdown is also reported in this SmartCompany article.
Review your records now to reduce the risk of incorrect claims, recovered excise and potential penalties.
Proposed SMSF reforms would increase setup and reporting requirements
The Australian Government announced proposed SMSF reforms on 19 August 2026. These measures are not yet enacted rules, and no commencement date has been announced.
The proposed changes would give the ATO power to prevent a rollover into an SMSF where there is a well-founded suspicion of consumer harm. The proposed power is intended to help interrupt scams, fraud and other harmful practices before a member transfers retirement savings.
The proposed reforms would also introduce several additional requirements for trustees and newly established SMSFs.
These include:
- Basic knowledge requirements for SMSF trustees.
- A uniquely identifiable bank account for each SMSF.
- A pre-written investment strategy.
- Disclosure by newly established SMSFs of whether an adviser helped establish the fund.
- Disclosure of establishment-related adviser fees.
- An increase in the SMSF supervisory levy from $253 to $295.
- A possible Compensation Scheme of Last Resort levy of no more than $20 per leviable period.
These are announced proposals. They should not be treated as current obligations until legislation is passed and commencement rules are confirmed.
Prepare for stronger trustee documentation
If you operate an SMSF or are considering establishing one, keep your fund’s governance documents organised. Review:
- Trustee appointment documents.
- The fund’s investment strategy.
- Bank account ownership and identification.
- Member and rollover documentation.
- Adviser engagement records.
- Adviser fee disclosures.
- Trustee meeting minutes and decisions.
- Evidence supporting investment decisions.
Business owners in NSW, Victoria, Queensland and other Australian states should separate their company compliance records from SMSF records. Your company’s bookkeeping, GST and payroll information should not be mixed with SMSF administration.
The proposed reforms are reported in the Australian Financial Review announcement coverage. Monitor further Treasury, ATO and legislative updates before changing your processes.
Lodge your TPAR electronically by 28 August 2026
The Taxable Payments Annual Report for the year ended 30 June 2026 is due on 28 August 2026.
The TPAR may apply if your business paid contractors for services in covered industries, including:
- Building and construction.
- Cleaning.
- Courier and road freight.
- Information technology.
- Security, investigation and surveillance.
- Certain government-related contracting activities.
The ATO requires TPAR lodgment electronically. Paper lodgments are no longer accepted.
Before submitting, check:
- Contractor names and ABNs.
- Contractor addresses and business details.
- Total payments made during the financial year.
- GST amounts included in reported payments.
- Payments made through related entities or trading divisions.
- Whether employees have been incorrectly included.
- Whether payments that were fully subject to PAYG withholding have been excluded where appropriate.
- Whether your business needs to lodge a non-lodgment advice instead.
Use the ATO’s August due-date guidance and TPAR lodgment instructions.
Do not wait until 28 August. Early review gives you time to correct missing ABNs, reconcile contractor payments and resolve software or access issues.
