The Coalition has committed to provide $1 billion to the ATO as a boost to the Tax Avoidance Taskforce. This taskforce will specifically target tax avoidance issues by multinationals, large corporates, and wealthy families. The funding, announced earlier this year in the federal budget, will be made over four years. It's expected to realise an additional $4.6 billion in revenue.
Holding Redlich tax litigation partner Damien Bourke says that the Government, in recognition of the ATO raising a staggering $12.9b in assessments since 2016 – sees this as a fertile area in which to 'invest'.
This is a massive injection of funding which will facilitate the ATO's compliance program - increase audit activities and raise assessments. For these groups the prospect of an ATO audit is really now a question of 'when'!
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