LATEST ACCOUNTING NEWS

Aussies tired of ‘dodgy tax criminals’, warns ATO

The Tax Office has revealed that 250,000 tip-offs have been received about tax avoidance and dishonest behaviours since July 2019.

.

The ATO has received thousands of tip-offs from businesses, customers, community members, employees, family members and friends about people who have engaged in tax avoidance.

The Tax Office said it received 250,000 tip-offs since July 2019, with more than 47,000 received in the 2023–2024 financial year.

Australians are reporting tip-offs as they understand the detriment of cheating the tax system, the ATO said. 

 

ATO assistant commissioner Tony Goding said dodging tax results in money being taken away from essential community services. 

“Australians are fed up with dodgy behaviours in the community and are stepping up to help level the playing field by tipping off the ATO,” he said.

“Tip-offs about taxpayers not declaring income, demanding cash from customers, paying workers in cash to avoid paying tax and super, not reporting sales and where someone’s lifestyle doesn’t appear to match their income.”

Based on the number of tip-offs received from community members, the ATO estimated $16 billion in stolen taxes.

This was attributed to businesses having engaged in “cash jobs” each year.

Building and construction, cafes and restaurants, as well as hairdressing and beauty services, topped the list of industries the ATO was tipped off about during the 2023–2024 financial year.

Goding said people who will likely try to cheat their competitors and the community will likely try to cheat their customers too.

“These businesses are deliberately undercutting their competitors and gaining an unfair advantage in their industry,” Goding said.

“The number of reports we have received tells us that Aussies have had enough. Dodging your tax obligations clearly no longer passes the pub test.”

In the 2023–2024 financial year, NSW had the most reported tip-offs at 15,516.

This was followed by Victoria at 11,256 and Queensland at 10,629.

Goding noted that while Sydney and Melbourne had the most tip-offs, reports came from regional areas as well as capital cities.

The top regional towns for tip-offs were all in Queensland and included the towns of Mackay, Bundaberg and Caboolture.

According to the ATO, community tip-offs are a crucial source of information with almost 1,000 received every week.

During 2023–2024, 90 per cent of tip-offs received by the ATO were suitable for further investigation.

If deemed suitable for further investigation, cases were carried out by specialised teams and ATO task forces, such as the cross-agency shadow economy task force.

The ATO said in early 2024, community tip-offs helped the organisation crack down on businesses that used electronic sales suppression tools to avoid paying almost $23 million in tax.

Goding said making a tip-off is anonymous, quick, and simple.

“When we receive information through a tip-off, we cross-check the information and assess whether further action is required,” he said.

“A tip-off can provide the ATO with crucial information it needs as part of an investigation, sealing the fate of those who intentionally do the wrong thing.”

 

 

 

 

Imogen Wilson
15 October 2024
accountantsdaily.com.au

 

 


| A superpower torn down the middle cannot return to business as usual. And when the most powerful country is so divided, everybody has a problem - the geopolitical recession can only intensify |
site By PlannerWeb