Small Business Glossary

Notice of Assessment (NOA) - definition & overview

Contents

What is a Notice of Assessment or NOA?

A Notice of Assessment (NOA) is an official document issued by the Australian Taxation Office (ATO) to your small business after you lodge your tax return. It summarises the ATO's assessment of your business's income tax liability for a specific income year.

Key points about Notice of Assessment (NOAs) for small businesses:

  • Information included: The NOA details your business's:
    • Total income for the year
    • Allowable deductions claimed
    • Tax payable or refundable amount
    • Any compulsory levies you owe (e.g., Medicare Levy)
  • Types of NOAs:
    • Original NOA: This is the first NOA you receive based on the information you lodged in your tax return.
    • Amended NOA:  The ATO may issue an amended NOA if they make changes to your original assessment.
    • Estimated NOA: If you haven't lodged your tax return by the due date, the ATO may estimate your tax liability and send you an estimated NOA.
    • Repayment NOA: If you've overpaid tax, you'll receive a repayment NOA detailing the amount you'll get back.
  • Understanding your NOA: It's important to carefully review your NOA to ensure the information aligns with your records. If you have any discrepancies, you can contact the ATO for clarification.
  • Taking action: Based on your NOA, you may need to:
    • Pay any outstanding tax by the due date.
    • Claim a tax refund if you're entitled to one.
    • Lodge an objection if you disagree with the ATO's assessment.

Resources:

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