since 2001, I was either unemployed, full time student or conscript…

since 2001, I was either unemployed, full time student or conscript soldier in Israel. Each of these without any income aside from the unemployment or Austudy payments from Centrelink.

I started a business in China as a sole trader in July 2010 and subsequently filed my first ever tax return in July, 2011. In June 2013, I purchased a business through my company acting as a trustee for my family trust.

In September 2013, I suddenly received a fine from the ATO for $550 for not submitting a tax return in the year ending June 2010. I returned to Australia mid 2009 from military service and then studied abroad up until June 2010 when I started preparing to open my business in China in July 2010. Under the circumstances, according to the ATO website itself, I was not required to report since I had no income at all aside from at times benefits (either unemployment or austudy)

I called the ATO in September, discussed this and said it was strange that they waited for me to submit my first ever tax return and then 2 years on before fining me for not submitting the year before my first ever return. The officer said probably this was due to them not having my addresses and she proceeded to help me to check this and found I had these penalties back to 2001 (although I only received the fine for yr ending June 2010). I explained the above to her and she said the next step was for me to submit an advice of non lodgement for each of those years. I managed to find copies of these forms for each year aside from 2001 and sent them from China by EMS early October to the ATO.

Yesterday, I received a letter from the ATO demanding payment of the fine by November 22. I don't know how to dispute this seeing I have already called and followed their instructions and it sickens me to think they pick on small business people who are actually doing the right thing.