“Each year our ability to match data gets better, making it more likely people will be identified if they leave anything out or incorrectly report items on their tax return,” said Tax Commissioner Michael D’Ascenzo.

“We have received more than 600 million transactions from organisations this tax time to check against tax returns.

“This information comes from a range of businesses and agencies, including employers, financial institutions, share registries, and government agencies like Centrelink, who are required to report data to the ATO regularly.”

The ATO cross-checks this information after taxpayers have lodged their tax returns to help stop fraudulent claims and detect any income that has not been included.

“Last year, we wrote to 540,000 taxpayers about discrepancies in the information they reported on their tax returns. This led to 90 per cent of these returns being amended and we raised $915 million in revenue as a result,” said Mr D’Ascenzo.

If you think you have made an error or left something out, you can complete a voluntary disclosure statement that will allow you to request an amendment of your tax return.

“We are very reasonable with people who have made an honest mistake – we appreciate that can happen to anyone,” Mr D’Ascenzo said.

“However, people who deliberately attempt to defraud the tax system can face heavy fines and risk having a criminal conviction recorded.”

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“Tax cheats are trying to get an unfair advantage, adding to the burden on the majority of people who do the right thing and meet their tax obligations,” said Tax Commissioner Michael D’Ascenzo.

“Our tax and superannuation systems underpin the standard of living we enjoy in Australia and the people who attempt to defraud that system are ultimately stealing from the rest of us.”

Thirty-nine people were prosecuted for tax-related offences last financial year. Thirty-seven custodial sentences were handed down by the courts, ranging from fully suspended to nine years imprisonment. These included eight individuals who received custodial sentences under Project Wickenby.

Offences included attempting to hide income and assets overseas and individuals using stolen identities to submit false business activity statements.

There were also 1,447 individuals and 514 companies successfully prosecuted for taxation offences, such as failing to lodge returns and making false and misleading statements on tax returns and activity statements. Court-imposed sanctions included reparation orders, fines and other penalties.

“Our increasingly sophisticated information matching capabilities enable us to help protect honest taxpayers and protect the overall integrity of the tax and superannuation system,” said Mr D’Ascenzo.

“We compare tax records with more than 600 million transactions reported to us each year from financial institutions and other organisations, both in Australia and overseas, to gain a very detailed picture of people’s financial dealings.

“The message is clear. If you attempt to cheat the honest taxpayer community you will be found out and brought to justice.”

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