Busy month on site? Here’s the quick, practical rundown for Queensland trade businesses. The ATO has flagged three areas hitting tradies hardest right now: making super on time for the September quarter, correctly classifying workers (employee vs contractor), and private use of work vehicles. Add in rental property repair rules and a major change making ATO interest more expensive, and October’s a good time to tighten the back office.
What matters this month (and what to do)
1) Superannuation Guarantee (SG) for July–Sept is due 28 October 2025
Your employees’ SG for the September quarter must reach their super funds by Tuesday, 28 October. Miss it and you’re into the Super Guarantee Charge – more admin, interest, and penalties (no tax deduction either). The ATO’s due-date table confirms 28 October for Q1 (Jul–Sep). ATO — super payment due dates and missed/late SG guidance.
Action: Pay a few days early (clearing times vary by fund/clearing house). Reconcile payroll and SG totals now.
2) Employee vs contractor: the ATO is watching
If you incorrectly treat an employee as an independent contractor, expect PAYG withholding penalties and Super Guarantee Charge – plus Fair Work exposure for sham contracting. The ATO’s primary guide (QC 33182) sets out how to decide, with myths that trip up small businesses. ATO — Employee or independent contractor and comparison of obligations. ATO — Employee or contractor: tax & super obligations compared.
Quick sense-check:
Who controls how, where and when work is done?
Who supplies tools/insurance?
Is payment by hour/week (employee) or quoted outcome (contractor)?
Is there a genuine right to delegate/subcontract?
If you’re uneasy on one or more, get an assessment before the next job starts.
3) Private use of utes and vans can trigger FBT
The ATO calls private use of work vehicles “the fringe benefit often missed”. FBT can apply if a vehicle is made available for private use – even if it’s not actually used. Common trouble spots: assuming all dual-cab utes are exempt, weak records, and treating school runs as “business use”. Start with the ATO newsroom alert (18 Sep 2025) and the deeper car FBT rules. ATO — Private use of work vehicles and ATO — How FBT applies to cars.
Action: Tighten your vehicle policy, restrict private use, and keep odometer/start-finish logs. If private use isn’t minimal, budget for FBT.
4) Rental property work: repairs vs capital (for many tradies with rentals)
Repairs and maintenance are generally deductible immediately. Initial repairs (fixing pre-purchase damage), structural improvements, and most renovations are capital – deducted over time or added to cost base. Also, second-hand depreciating assets in residential rentals are generally not deductible by individuals. See the ATO’s October guidance for tax pros and the rental repairs fact sheet. ATO — Rental property: repairs or capital expenses?.
Action: Before you sign off on renos, confirm tax treatment so cash flow (and expectations) line up.
5) ATO interest on tax debts is no longer deductible (from 1 July 2025)
This one bites: GIC and SIC incurred on or after 1 July 2025 can’t be claimed as a tax deduction, even if the underlying debt relates to an earlier year. The ATO has published its final position following the Treasury Laws Amendment (Tax Incentives and Integrity) Act 2025. ATO — Denying deductions for ATO interest charges and newsroom reminder for agents. ATO — Changes to deductibility of interest on ATO debts.
Why care? Carrying a tax debt now costs more after tax than last year. If you’re behind, a structured plan (or refinancing) will generally beat drifting.
6) Debt interest under investigation by the Tax Ombudsman
Against the backdrop of tougher ATO debt collection, the Inspector-General of Taxation and Taxation Ombudsman is reviewing how the ATO applies or remits interest on unpaid debts – highlighting complaints about consistency and transparency. Submissions close 10 October 2025. IGTO (Tax Ombudsman) — Media release, 12 Sep 2025.
Action: If you’ve had a remission request refused (or a confusing experience), document it now. It can help with reviews or future objections.
October checklist for trade business owners
| Task | Why it matters | Owner | Due |
|---|---|---|---|
| Pay SG (Jul–Sep) | Avoid SGC penalties and non-deductible costs | Payroll/Accounts | 28 Oct 2025 |
| Review active ABNs/TFNs on subcontractors | Misclassification risk (employee vs contractor) | Ops/Accounts | Before next job |
| Update vehicle policy and logs | Private use can trigger FBT | Ops/Foreman | This month |
| Rental work: tag invoices as “repair” vs “capital” | Right claims at tax time | Owner/Bookkeeper | Ongoing |
| ATO debt plan | Interest now non-deductible – more expensive | Owner/Advisor | ASAP |
How Trinity Advisory helps (Cairns & Sunshine Coast)
Quarterly advisory with Xero-driven reporting to spot SG, PAYG and cash-flow choke points early.
Worker status reviews (employee vs contractor) and payroll clean-ups to reduce audit risk.
Vehicle and FBT reviews and simple logbook frameworks for field teams.
Rental and asset schedules so your repair or capital treatment is right the first time.
Book a 15-minute strategy call and we’ll tailor a punch-list for your business.
Book a Call | Or talk to the local team: Sunshine Coast · Cairns
General information only, not tax or legal advice. Always consider your circumstances and the source legislation or ATO page linked.
FAQ
When exactly is the September-quarter super due?
Funds must receive contributions by 28 October 2025. Paying on the 28th may be too late. Allow clearing time.
Are dual-cab utes automatically FBT-exempt?
No. Exemptions are narrow and depend on design and limited private use. Logs and policy matter.
If I’m behind on tax, is interest still deductible?
Not for GIC or SIC incurred on or after 1 July 2025. Consider payment plans or refinancing.
My subcontractor only works for us and wears our uniform – employee?
That’s a red flag. Check control, tools, ability to delegate, and payment basis. Use the ATO’s guidance and get advice.
We replaced a rental kitchen – repair or capital?
A full kitchen replacement is generally a capital improvement (capital works or assets), not an immediate repair.
