Enable the ATO to engage more effectively with businesses to address the growth of tax and superannuation liabilities.
The Government will provide funding over 4 years from 1 July 2023 to enable the ATO to engage more effectively with businesses to address the growth of tax and superannuation liabilities. The additional funding will facilitate ATO engagement with taxpayers who have high-value debts over $100,000 and aged debts older than two years where those taxpayers are either public and multinational groups with an aggregated turnover of greater than $10 million, or privately owned groups or individuals controlling over $5 million of net wealth. A lodgment penalty amnesty program is being provided for small businesses with aggregate turnover of less than $10 million to encourage them to re-engage with the tax system. The amnesty will remit failure-to-lodge penalties for outstanding tax statements lodged in the period from 1 June 2023 to 31 December 2023 that were originally due during the period from 1 December 2019 to 29 February 2022. This measure is estimated to increase receipts by $718.0 million and increase payments by $275.4 million over the 5 years from 2022-23. In addition to the $82.1 million in funding for the ATO, the increase in payments also includes $12.3 million in unpaid superannuation to be disbursed to employees, and $181.0 million in GST payments to the states and territories.