The Australian Taxation Office (ATO) updated the instructions for local file. These instructions apply to the local file for 2020. This relates to reporting periods starting on or after 1 January 2019.
According to the instructions, local file must be electronically lodged in the approved form (an XML file generated in accordance with an ATO developed XML schema). The local file is part of a combined form, which also contains the master file. The local file may be lodged separately or together with the master file.
The local file can only be lodged electronically, through one of the following:
- Business Portal using file transfer;
- Online services for agents using file transfer; and
- Standard Business Reporting (SBR) using SBR-enabled software.
Lodgments via email or paper are not accepted. The local file collects information and relevant documentation for international related party dealings (IRPDs). The local file is comprised of three parts i.e. Short form, Part A, and Part B.
