subscribe to our newsletter
ATO eyeing wealthy Australians

ATO eyeing wealthy Australians

20 April 2015 — 1 minute read

The ATO has announced it is changing its approach to ensuring wealthy Australians and their private companies pay the right amount of tax.

Acting second commissioner Michael Cranston said the ATO will be ramping up face-to-face engagement with key taxpayers to protect revenue.

“While most wealthy Australians and their private groups do the right thing – contributing around $31 billion in income tax last financial year – some choose to avoid tax,” Mr Cranston said.

“We are shifting our approach and will be visiting our largest private groups to look at their tax affairs in real time, raise any concerns and resolve issues before companies lodge their tax returns.

“We risk-review all wealthy Australians and their private groups. About 30 per cent are considered high risk and we regularly ensure they are compliant through reviews, audits and the provision of advice.”

Mr Cranston said the ATO will sign off on the previous year’s tax returns of taxpayers who have been open and transparent about their affairs, have good compliance records and are considered low risk.

“This will provide certainty for about 30,000 privately-owned and wealthy groups that they will not be subject to audit for specific income years,” he said.

The tax office also outlined behaviours that are likely to attract its attention.

ATO eyeing wealthy Australians
smsfadviser logo
join the discussion

Do you think the government should reinstate the accountants’ exemption for SMSF advice?


Get the latest news and opinions delivered to your inbox each morning

In this month's issue:

  • Time wrap
  • The tech bull run
  • From hobby to passion
  • Golden Years
  • An untimely reminder
  • Why change is so difficult
  • Key Strategies for equalising super