Budget, Retail Trade figures, Solomon Islands, Beaconsfield rescue – Doorstop Interview, Ministerial Entrance, Parliament House, Canberra
May 8, 2006Budget 2006-07 – Q&A Session, National Press Club, Canberra
May 10, 2006
NO.040
INCREASED RESOURCING FOR THE ATO’S HIGH WEALTH INDIVIDUALS TASKFORCE
The Government will provide the Australian Taxation Office (ATO) with an additional $82million over four years in resources to maintain tax compliance by high wealth individuals and their associated entities. This funding is expected to raise an additional $615million of revenue over the next four years.
As a result of the buoyant economy, the number of high wealth individuals has grown over recent years. This measure will allow the ATO’s High Wealth Individuals Taskforce to cover this increase in the number of high wealth individuals and enable the ATO to improve the timely identification of tax compliance risks. The ATO will undertake additional audit activity for all identified high risk cases, including closely-held private company groups.
Since its inception in 1997, the Taskforce has collected over $1.3billion in additional revenue from audits of high wealth individuals. Indications are that this activity has also improved voluntary compliance by this sector.
CANBERRA
9 May 2006
Contact: David Alexander
(02) 6277 7340
Supporting Information
Why is this important?
- The number of high wealth individuals has tripled since the Government established the High Wealth Individuals Taskforce in 1997. The increase in funding will allow the Taskforce to cover this increase and will help maintain the integrity of the taxation system.
- The $82million of additional funding over four years is expected to raise an additional $615million in tax revenue.
- This will help maintain confidence in the taxation system and enhance the equity of the tax system by ensuring that Australia’s wealthiest individuals pay their fair share of tax.
Who will benefit?
- All Australian taxpayers benefit from ensuring that the tax system operates in a fair and equitable manner.
What funding is the Government committing to the initiative?
- $82 million over the next four years.
What have we done in the past?
- The Government established the High Wealth Individuals Taskforce in 1997. Since it was established, the Taskforce has collected $1.3billion from audits of high wealth individuals. Indications are that this activity has also improved voluntary compliance by this sector.
When will the initiative conclude?
- The additional funding is for the period 2006-07 to 2009-10, however, activity related to this initiative is expected to continue beyond this period.