With a number of years having passed since the implementation of ‘A New Tax System’ on 1 July 2000 (including the introduction of the Goods & Services Tax), the Tax Office have publicly stated that the GST education and tolerance period is over, and the compliance and audit activities have been stepped up. They have invested large amounts of their resources in this, and we can therefore expect to see more instances of BAS audits in the coming months and years.
Of course, unfortunately there are still many income tax audits taking place too.
Tax Office audits are a daunting prospect for most businesses, but we at Huon Partners are committed in helping our clients prepare for an audit, including advice on what to expect from the ATO, and the rights and obligations of you as taxpayers.