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1: Expenses

2021

2020

$'000

$'000

Note 1A: Employee benefits

Wages and salaries

1,490,735

1,368,186

Superannuation:

Defined contribution plans

148,392

127,067

Defined benefit plans

166,924

170,657

Leave and other entitlements

227,632

283,341

Separation and redundancies

5,472

10,867

Other employee expenses

3,014

3,685

Total employee benefits

2,042,169

1,963,803

Accounting policy

Accounting policies for employee related expenses is contained in Note 7A Employee provisions.

Note 1B: Suppliers

Goods and services supplied or rendered

Contractors and consultants

600,087

465,304

IT and communications

586,434

529,283

Legal

62,080

63,721

Office operations

117,680

136,577

Property

59,527

63,333

Tax administration services provided by the Department of Home Affairs

56,200

50,465

Other1

96,275

111,572

Total goods and services supplied or rendered

1,578,283

1,420,255

Other suppliers

Operating lease rentals2

90

27

Workers compensation expenses

2,956

3,977

Total other suppliers

3,046

4,004

Total suppliers

1,581,329

1,424,259

1.The comparative figure includes ­travel expenses (2020: $18,257,000) which was presented as a separate line item in the prior year.

2.The ATO has one short-term lease commitment as at 30 June 2021.

The above lease disclosures should be read in conjunction with the accompanying notes 1C, 2B, 4A and 6A.

2021

2020

$'000

$'000

Note 1C: Finance costs

Interest on lease liabilities

12,018

13,677

Unwinding of discount

108

11

Total finance costs

12,126

13,688

The above lease disclosures should be read in conjunction with the accompanying notes 1B, 2B, 4A and 6A.

Accounting policy

All finance charges are expensed as incurred.

Note 1D: Impairment loss on financial instruments

Impairment gain on financial instruments

(948)

(1,869)

Total impairment gain on financial instruments

(948)

(1,869)

Note 1E: Write-down and impairment of other assets

Impairment and write-offs of non-financial assets

Plant and equipment

127

147

Intangibles

69

2,550

Other

-

2,056

Total write-down and impairment of other assets

196

4,753

Note 1F: Other expenses

Compensation

291

608

Act of grace payments

-

2

Losses from asset sales

46

3

Total other expenses

337

613