Earn
ATO commences action on Australians embroiled in international tax evasion probe
Earn
ATO commences action on Australians embroiled in international tax evasion probe
Australia-based clients of an unnamed Central American bank will now come under the scrutiny of the ATO after an unprecedented day of action by global tax chiefs.

ATO commences action on Australians embroiled in international tax evasion probe
Australia-based clients of an unnamed Central American bank will now come under the scrutiny of the ATO after an unprecedented day of action by global tax chiefs.

The Joint Chiefs of Global Tax Enforcement, known as the J5, made up of Australia, the United Kingdom, United States, Canada and the Netherlands, have now undertaken a globally coordinated investigation into a Central American bank suspected of facilitating money laundering and tax evasion for customers across the globe.
The unnamed international financial institution, located in Central America, is believed to be using a sophisticated system to conceal and transfer wealth anonymously to evade clients’ tax obligations and launder the proceeds of crime.
The investigations started after being first raised by the Dutch Fiscal Information and Investigation Service and involved action including the collection of evidence and information through search warrants, interviews and subpoenas.
This is the first major operational activity for the J5, with the ATO now commencing investigations into Australia-based clients of this institution who are suspected to have undeclared income.
The Australian Criminal Intelligence Commission is playing a supportive intelligence role, and investigations into more clients may follow.
“Today’s action shows the power of our combined efforts in tackling global tax crime, fraud and evasion,” said ATO deputy commissioner and Australia’s J5 chief, Will Day.
“This multiagency, multicountry activity should degrade the confidence of anyone who was considering an offshore location as a way to evade tax or launder the proceeds of crime.”
It is expected that further criminal, civil and regulatory action will arise from these actions in each country.
The J5 was formed in 2018 in response to a call to action from the Organisation for Economic Co-operation and Development for countries to do more to tackle the enablers of tax crime.
“This is the first coordinated set of enforcement actions undertaken on a global scale by the J5 – the first of many,” said Don Fort, US chief, Internal Revenue Service Criminal Investigation.
“Working with the J5 countries who all have the same goal, we are able to broaden our reach, speed up our investigations and have an exponentially larger impact on global tax administration. Tax cheats in the US and abroad should be on notice that their days of non-compliance are over.”

Tax refund
Expats cautioned over COVID-19 tax traps
With thousands of Australian expats either returning or planning on heading home following the COVID-19 pandemic, an accountant has urged them to look into their tax affairs to avoid a hefty tax bil...Read more

Tax refund
80¢ per hour work-from-home deduction method extended
Taxpayers continuing to work from home in the new year will be allowed to continue using the simplified working-from-home deduction method following a third extension by the ATO. ...Read more

Tax refund
The $40bn hidden tax hurting Australian businesses
Businesses rewarding hard-working staff with a Christmas bonus are paying for it through compliance costs associated with Fringe Benefit Tax (FBT), an industry expert argues. ...Read more

Tax refund
Government tackles ATO scams with new telco rules
New rules that require telcos to detect, trace and block scam calls have now been registered, as such scams, including ATO impersonation scams, cost Australians $36 million in 2020 so far. ...Read more

Tax refund
ATO extends eBay, Amazon data-matching program
Up to 30,000 eBay and Amazon sale transactions are set to be scrutinised by the ATO as it looks to identify taxpayers who may be failing to meet their tax obligations. ...Read more

Tax refund
Victoria unveils new payroll tax break
Victorian businesses that re-employ or hire new workers over the next two years are set to receive a new payroll tax credit, as the state government unveils a range of tax measures aimed at stimulatin...Read more

Tax refund
Is it time for a national EV tax?
The Australian Automobile Association has called for a national EV tax as state regulators continue to introduce taxes to offset fuel losses. ...Read more

Tax refund
Major bank exec convicted over fraudulent tax claims
A major bank executive has been convicted and fined after attempting to obtain tax refunds close to $25,000 in work-related expenses. ...Read more

Tax refund
Expats cautioned over COVID-19 tax traps
With thousands of Australian expats either returning or planning on heading home following the COVID-19 pandemic, an accountant has urged them to look into their tax affairs to avoid a hefty tax bil...Read more

Tax refund
80¢ per hour work-from-home deduction method extended
Taxpayers continuing to work from home in the new year will be allowed to continue using the simplified working-from-home deduction method following a third extension by the ATO. ...Read more

Tax refund
The $40bn hidden tax hurting Australian businesses
Businesses rewarding hard-working staff with a Christmas bonus are paying for it through compliance costs associated with Fringe Benefit Tax (FBT), an industry expert argues. ...Read more

Tax refund
Government tackles ATO scams with new telco rules
New rules that require telcos to detect, trace and block scam calls have now been registered, as such scams, including ATO impersonation scams, cost Australians $36 million in 2020 so far. ...Read more

Tax refund
ATO extends eBay, Amazon data-matching program
Up to 30,000 eBay and Amazon sale transactions are set to be scrutinised by the ATO as it looks to identify taxpayers who may be failing to meet their tax obligations. ...Read more

Tax refund
Victoria unveils new payroll tax break
Victorian businesses that re-employ or hire new workers over the next two years are set to receive a new payroll tax credit, as the state government unveils a range of tax measures aimed at stimulatin...Read more

Tax refund
Is it time for a national EV tax?
The Australian Automobile Association has called for a national EV tax as state regulators continue to introduce taxes to offset fuel losses. ...Read more

Tax refund
Major bank exec convicted over fraudulent tax claims
A major bank executive has been convicted and fined after attempting to obtain tax refunds close to $25,000 in work-related expenses. ...Read more