The last few years have been financially tough on many business, increasing the temptation to cheat with their GST. This is clearly recognised with the Government’s renewed commitment to the ATO’s compliance program.
The Government continues the pressure for another two years with the announcement that it will provide $195.3 million to the ATO in 2014-15 and 2015-16 to extend the GST compliance measures announced to the 2010-11 Federal Budget.
The measures are intended to ensure that the ATO can continue to closely examine issues relating to the fraudulent GST returns; under-reporting of GST liabilities; failure to lodge GST returns; and outstanding GST debts.
The compliance program is anticipated to result in an additional $432 million revenue in 2014-15, taking the increase from this measure to $986.2 million over the forward estimates period.
It is clear that while the Government continues to move forward with its GST administration reform agenda, the ATO will maintain a high level of scrutiny of taxpayer compliance.