Latest news with #AustralianTaxationOffice
West Australian
3 days ago
- Business
- West Australian
PGA returns after administration to continue to fight against 'costly' government interventions
Pastoralists and Graziers Association of WA president Tony Seabrook says the 118-year-old organisation is 'back in full force' to protect its community which has been 'shunned' by both State and Federal governments. The farmer advocacy group fell into administration in January after a $1m-plus claim from the Australian Taxation Office for a long-running debt. Administrator RSM probed the 'the organisation's financial irregularities' and referred the matter to WA Police, rocking the industry in the lead-up to the State and Federal elections. But the association moved back into its office in West Perth in early March and Mr Seabrook said the association was ready to put the 'difficult period' behind it and continue to prioritise its members. 'None of the members within the association were in any way involved in anything that has happened,' he said. 'There's an ongoing police investigation and we're awaiting to see what they dig up. Until then, we will continue to advocate for the needs of our members. 'We exist to service our members to the very best of our ability and also the broader agricultural industry.' Mr Seabrook said it was a time of great turmoil for farmers. 'We're doing what we do to protect our members and our community at a time where we have a State Government and a Federal Government that doesn't really seem to care very much about agriculture,' he said. 'Our main focus has always been to service and protect our members against the ignorance and stupidity of government and bureaucracy. 'We provide a very worthwhile service to all of our members because we want to look after them.' The industry is currently being rocked by several State and Federal government interventions, including electronic sheep and goat identification, tax on unrealised gains, new firearms regulations — and the subsequent issues with the new online portal — and the live sheep export ban. Mr Seabrook is among many WA farmers who have decreased their flock in the wake of the live sheep export ban, decreasing his flock from 3000 to 150 head in recent months due to sky-high operational costs. Mr Seabrook said the PGA would continue to advocate against these interventions which are 'costing' regional communities. 'The phased transition to mandatory electronic identification for sheep and goats by July 1, 2026 is another nail in the coffin for farmers,' he said. 'While the tax on unrealised gains is unfair and unreasonable, and fails to acknowledge the impact on rural farming families.'
Yahoo
3 days ago
- Business
- Yahoo
ATO mistake costing Aussies $500 at tax time: ‘Can't afford'
Australians will be able to start lodging their tax returns with the Australian Taxation Office (ATO) in the coming weeks, with many eager for a much-needed cash boost. But experts are warning people to carefully check that they are claiming everything they are entitled to, or they could miss out on hundreds. Australians could be short-changing themselves by $525.50 on average, new research by H&R Block found, simply by missing deductions. Those who lodge their tax returns themselves through the ATO's MyTax portal are particularly at risk, with 66 per cent found to have missed deductions. 'In a year when every dollar counts, that's money Australians can't afford to leave behind,' H&R Block director of tax communications Mark Chapman said. RELATED ATO warning over popular tax deduction Aussies try to claim each year: 'Not claimable' $1,831 Centrelink payment change coming within weeks: 'You'll get more' Australia's most in-demand jobs revealed with $125,000 salaries up for grabs: 'Short supply' 'If you've started a side hustle, invested in shares, bought property, or even just worked from home — your return is no longer simple. 'The ATO doesn't tell you what you're entitled to claim — that's up to you. And in a year where budgets are stretched, getting it right can make a real difference.' The survey found one in three Aussies only realised they'd missed out on deductions after lodging, meaning they missed out on doing it for the year. It comes as Aussies are urged to hold off lodging their tax returns as soon as the financial year ends on July 1, as they could risk making mistakes and missing out on claims. The ATO said waiting allowed it to collect information on your wages, bank interest, private health insurance, dividends and government payments, which is then pre-filled into your tax return if you use myTax. Last year, about three million individual tax returns were lodged by July 23, skyrocketing to 5.8 million by August 20. Car expenses make up the most work-related claims, with ATO data showing that they accounted for $10.3 billion in claims from 3.6 million people in the 2023-24 financial year. Clothing was the most common claim, with $2.2 billion worth of expenses claimed by 6.5 million people in the same year. Financial adviser and Yahoo Finance contributor Ben Nash said many taxpayers were leaving hundreds or even thousands of dollars on the table because they forget to claim everything they are entitled to. He said some of the most overlooked tax deductions include: Work-related education expenses: Think short courses, workshops, online learning, and seminar fees. Work from home expenses: The actual cost method is more onerous than the fixed rate method, but it could offer better deductions. Income protection insurance: Premiums are deductible for insurance outside of your super fund. Investment-related expenses: Expenses like the interest on loans for investing, property management fees, financial adviser fees for investing, and investment account or brokerage fees are deductible. Professional memberships and subscriptions: Memberships for industry bodies, magazine or journal subscriptions, and software or tools can be deductible. Chapman said rental property expenses, such as gardening and lawn mowing, bank fees and pest control, were often overlooked, along with extra concessional superannuation contributions. If you paid for a tax professional to do last year's tax return, you can also claim a deduction for the cost in this year's return. The ATO has occupation guides that you can check out to see what you can and can't claim. Chapman has also written a handy guide to the best deductions available while retrieving data Sign in to access your portfolio Error while retrieving data
The Guardian
4 days ago
- Business
- The Guardian
Law preventing parents from claiming childcare fees as a tax deduction to be challenged
A 50-year-old legal precedent blocking parents from claiming childcare fees as a tax deduction will be challenged in a major test high court case. Since 1971, deductions for childcare fees have been denied by the Australian Taxation Office following the case of Ann Margaret Lodge, a single mother and law clerk who worked mostly from home. Lodge claimed $647 in nursery fees for her daughter's care but had her high court appeal denied. The court found childcare costs were neither relevant nor incidental to producing income and were private or domestic. As a result, courts and tribunals have consistently rejected claims for fees to be included in work-related deductions in annual tax returns. Sign up for Guardian Australia's breaking news email But law firm Arnold Bloch Leibler is preparing to argue the Income Tax Assessment Act has not kept pace with society and the structure of modern families. A lack of childcare is one of the biggest obstacles to women participating in the workforce. Lead partner Paul Sokolowski said that, unlike in previous generations, many Australian families require two incomes to make ends meet and allowing a work-related deduction for childcare would boost productivity across the economy. 'If you spend money to do something that puts you in a position to be able to earn income, it's not deductible, but if you spend money in the course of doing what you do to generate income – something that makes you able to do your job more efficiently – then it potentially is deductible,' he said. Sokolowski said denying childcare costs as a tax deduction was 'anachronistic'. 'It doesn't pass the politicians' pub test. If you look at the facts in Lodge, one of the arguments … put to the court 50 years ago was the very idea that having someone look after your child actually makes your makes you more efficient. 'You've got no distractions, it actually makes your work more productive, makes you more efficient. And that's precisely what deductibility, the principle, should be based on.' Arnold Bloch Leibler will argue that rules allowing essential workers to use childcare during Covid lockdowns proved the services were critical to some employment. During the pandemic, some Coalition backbenchers pushed for the Morrison government to allow families to choose to claim childcare costs as a tax deduction instead of accessing the fee subsidy. Currently in its early stages, the firm is working on the case pro bono. It would require leave to appeal to the high court and stems from the work of Melbourne University law school taxation expert Ann O'Connell. The Grattan Institute is opposed to childcare costs being deductible. The thinktank argues most families, including low-income households, would be worse off than under the current childcare subsidy rules. In February, parliament passed changes to eligibility rules for the childcare subsidy. It means parents will be guaranteed a minimum of three days of subsidised childcare regardless of how much they work or study. The three-day guarantee begins from January 2026 for families earning up to about $530,000. But Arnold Bloch Leibler believes tax deductibility would strengthen existing arrangements. The firm has asked the ATO to provide test-case funding or not impose costs if it loses. An ATO spokeswoman declined to comment on the case. 'The ATO cannot comment on the tax affairs of any taxpayer due to our statutory confidentiality obligations,' she said.
The Advertiser
5 days ago
- Politics
- The Advertiser
'Superhero' tax whistleblower avoids jail in plea deal
Whistleblower Richard Boyle has been hailed a "superhero" after striking a plea deal under which he will avoid jail. The 49-year-old has admitted to four criminal charges linked to his exposure of unethical debt recovery practices at the Australian Taxation Office. Boyle appeared in the Adelaide District Court on Tuesday, where he pleaded guilty to disclosing protected information to another entity, making a record of protected information, using a listening device to record a private conversation and recording other people's tax file numbers. The Commonwealth Director of Public Prosecutions withdrew a further 15 charges, while another five charges were dropped in March. Outside court, Whistleblowers Justice Fund founder Rex Patrick said Boyle had "pleaded guilty to helping all Australians by disclosing poor conduct by the tax office, who were stripping funds from businesses who were in distress". "He should be wearing a big S on his chest, as a superhero, instead of a conviction," the former senator said. All of the charges Boyle admitted were criminal offences with both financial penalties and a maximum two-year prison sentence, he said. "I understand that in pleading guilty he will avoid a custodial sentence, but he may well still be convicted, which is something he'll have to wear very heavily around his neck every time he applies for a job," Mr Patrick said. Boyle, a former ATO debt collection officer, raised concerns internally about debt recovery practices in October 2017, when he grew worried about operations in the tax office. Believing his complaints had been ignored, he went public on the ABC's Four Corners about the tactics used against taxpayers who owed the ATO money. "This has been eight long years for Richard and it's a disgrace," Mr Patrick said. "The message being sent by the government is if you blow the whistle, we will pursue you to the end." Outside court, Boyle hugged supporters, including his wife, Louise Beaston. The Human Rights Law Centre's Kieran Pender said it was a "heartbreaking day for Richard Boyle and whistleblowers in Australia". "He should never have been prosecuted, and his case clearly demonstrates how our laws are failing to protect people who bravely speak up," he said. "Prosecuting whistleblowers has a chilling effect on truth and transparency, and sends a clear message to prospective whistleblowers that if you speak up you will face punishment. "The re-elected Albanese government must urgently reform the law to prevent a repeat of this prosecution and commit to establishing a federal Whistleblower Protection Authority." Mr Patrick said the inspector-general of taxation had "basically vindicated Richard's calls, and the laws were changed". "Richard has done a great service to this country," he said. Last year, the SA Court of Appeal ruled Boyle was not protected by federal whistleblowing laws - because the charges related not to his whistleblowing, but steps Boyle had taken in preparation to blow the whistle internally, including taking photos of documents and recording conversations. Boyle returns to court for sentencing submissions on August 1. Whistleblower Richard Boyle has been hailed a "superhero" after striking a plea deal under which he will avoid jail. The 49-year-old has admitted to four criminal charges linked to his exposure of unethical debt recovery practices at the Australian Taxation Office. Boyle appeared in the Adelaide District Court on Tuesday, where he pleaded guilty to disclosing protected information to another entity, making a record of protected information, using a listening device to record a private conversation and recording other people's tax file numbers. The Commonwealth Director of Public Prosecutions withdrew a further 15 charges, while another five charges were dropped in March. Outside court, Whistleblowers Justice Fund founder Rex Patrick said Boyle had "pleaded guilty to helping all Australians by disclosing poor conduct by the tax office, who were stripping funds from businesses who were in distress". "He should be wearing a big S on his chest, as a superhero, instead of a conviction," the former senator said. All of the charges Boyle admitted were criminal offences with both financial penalties and a maximum two-year prison sentence, he said. "I understand that in pleading guilty he will avoid a custodial sentence, but he may well still be convicted, which is something he'll have to wear very heavily around his neck every time he applies for a job," Mr Patrick said. Boyle, a former ATO debt collection officer, raised concerns internally about debt recovery practices in October 2017, when he grew worried about operations in the tax office. Believing his complaints had been ignored, he went public on the ABC's Four Corners about the tactics used against taxpayers who owed the ATO money. "This has been eight long years for Richard and it's a disgrace," Mr Patrick said. "The message being sent by the government is if you blow the whistle, we will pursue you to the end." Outside court, Boyle hugged supporters, including his wife, Louise Beaston. The Human Rights Law Centre's Kieran Pender said it was a "heartbreaking day for Richard Boyle and whistleblowers in Australia". "He should never have been prosecuted, and his case clearly demonstrates how our laws are failing to protect people who bravely speak up," he said. "Prosecuting whistleblowers has a chilling effect on truth and transparency, and sends a clear message to prospective whistleblowers that if you speak up you will face punishment. "The re-elected Albanese government must urgently reform the law to prevent a repeat of this prosecution and commit to establishing a federal Whistleblower Protection Authority." Mr Patrick said the inspector-general of taxation had "basically vindicated Richard's calls, and the laws were changed". "Richard has done a great service to this country," he said. Last year, the SA Court of Appeal ruled Boyle was not protected by federal whistleblowing laws - because the charges related not to his whistleblowing, but steps Boyle had taken in preparation to blow the whistle internally, including taking photos of documents and recording conversations. Boyle returns to court for sentencing submissions on August 1. Whistleblower Richard Boyle has been hailed a "superhero" after striking a plea deal under which he will avoid jail. The 49-year-old has admitted to four criminal charges linked to his exposure of unethical debt recovery practices at the Australian Taxation Office. Boyle appeared in the Adelaide District Court on Tuesday, where he pleaded guilty to disclosing protected information to another entity, making a record of protected information, using a listening device to record a private conversation and recording other people's tax file numbers. The Commonwealth Director of Public Prosecutions withdrew a further 15 charges, while another five charges were dropped in March. Outside court, Whistleblowers Justice Fund founder Rex Patrick said Boyle had "pleaded guilty to helping all Australians by disclosing poor conduct by the tax office, who were stripping funds from businesses who were in distress". "He should be wearing a big S on his chest, as a superhero, instead of a conviction," the former senator said. All of the charges Boyle admitted were criminal offences with both financial penalties and a maximum two-year prison sentence, he said. "I understand that in pleading guilty he will avoid a custodial sentence, but he may well still be convicted, which is something he'll have to wear very heavily around his neck every time he applies for a job," Mr Patrick said. Boyle, a former ATO debt collection officer, raised concerns internally about debt recovery practices in October 2017, when he grew worried about operations in the tax office. Believing his complaints had been ignored, he went public on the ABC's Four Corners about the tactics used against taxpayers who owed the ATO money. "This has been eight long years for Richard and it's a disgrace," Mr Patrick said. "The message being sent by the government is if you blow the whistle, we will pursue you to the end." Outside court, Boyle hugged supporters, including his wife, Louise Beaston. The Human Rights Law Centre's Kieran Pender said it was a "heartbreaking day for Richard Boyle and whistleblowers in Australia". "He should never have been prosecuted, and his case clearly demonstrates how our laws are failing to protect people who bravely speak up," he said. "Prosecuting whistleblowers has a chilling effect on truth and transparency, and sends a clear message to prospective whistleblowers that if you speak up you will face punishment. "The re-elected Albanese government must urgently reform the law to prevent a repeat of this prosecution and commit to establishing a federal Whistleblower Protection Authority." Mr Patrick said the inspector-general of taxation had "basically vindicated Richard's calls, and the laws were changed". "Richard has done a great service to this country," he said. Last year, the SA Court of Appeal ruled Boyle was not protected by federal whistleblowing laws - because the charges related not to his whistleblowing, but steps Boyle had taken in preparation to blow the whistle internally, including taking photos of documents and recording conversations. Boyle returns to court for sentencing submissions on August 1. Whistleblower Richard Boyle has been hailed a "superhero" after striking a plea deal under which he will avoid jail. The 49-year-old has admitted to four criminal charges linked to his exposure of unethical debt recovery practices at the Australian Taxation Office. Boyle appeared in the Adelaide District Court on Tuesday, where he pleaded guilty to disclosing protected information to another entity, making a record of protected information, using a listening device to record a private conversation and recording other people's tax file numbers. The Commonwealth Director of Public Prosecutions withdrew a further 15 charges, while another five charges were dropped in March. Outside court, Whistleblowers Justice Fund founder Rex Patrick said Boyle had "pleaded guilty to helping all Australians by disclosing poor conduct by the tax office, who were stripping funds from businesses who were in distress". "He should be wearing a big S on his chest, as a superhero, instead of a conviction," the former senator said. All of the charges Boyle admitted were criminal offences with both financial penalties and a maximum two-year prison sentence, he said. "I understand that in pleading guilty he will avoid a custodial sentence, but he may well still be convicted, which is something he'll have to wear very heavily around his neck every time he applies for a job," Mr Patrick said. Boyle, a former ATO debt collection officer, raised concerns internally about debt recovery practices in October 2017, when he grew worried about operations in the tax office. Believing his complaints had been ignored, he went public on the ABC's Four Corners about the tactics used against taxpayers who owed the ATO money. "This has been eight long years for Richard and it's a disgrace," Mr Patrick said. "The message being sent by the government is if you blow the whistle, we will pursue you to the end." Outside court, Boyle hugged supporters, including his wife, Louise Beaston. The Human Rights Law Centre's Kieran Pender said it was a "heartbreaking day for Richard Boyle and whistleblowers in Australia". "He should never have been prosecuted, and his case clearly demonstrates how our laws are failing to protect people who bravely speak up," he said. "Prosecuting whistleblowers has a chilling effect on truth and transparency, and sends a clear message to prospective whistleblowers that if you speak up you will face punishment. "The re-elected Albanese government must urgently reform the law to prevent a repeat of this prosecution and commit to establishing a federal Whistleblower Protection Authority." Mr Patrick said the inspector-general of taxation had "basically vindicated Richard's calls, and the laws were changed". "Richard has done a great service to this country," he said. Last year, the SA Court of Appeal ruled Boyle was not protected by federal whistleblowing laws - because the charges related not to his whistleblowing, but steps Boyle had taken in preparation to blow the whistle internally, including taking photos of documents and recording conversations. Boyle returns to court for sentencing submissions on August 1.
West Australian
5 days ago
- Business
- West Australian
‘Stealing funds': ATO warning as three people jailed over tax fraud
With Aussies looking forward to that end-of-financial-year rebate, the Australian Taxation Office (ATO) has issued a stern warning about GST fraud. In a timely reminder about the consequences of committing fraud, three people from Queensland have been jailed in May. Tiarn Payten Nutley was sentenced to nine months in jail for using an existing Australian business number (ABN) to claim GST refunds for a fake beauty and salon business. Nutley shared her myGov log in with two of her friends who lodged six false business activity statements (BAS) in her name. She was sentenced for one offence of dishonestly obtaining a gain of nearly $50,000 and further trying to obtain $25,000. Nutley was released on a recognisance release order of $2000 but is required to be of good behaviour for 12 months. Her friend Skye Anne Hoek gained more than $25,000 after registering her ABN for GST and lodging two BAS that contained false information. She was sentenced to three months' jail without a recognisance release order. Gregory Pimm ran an even more elaborate fraud system – a fake road freight transport business that he claimed to run from his home. He fraudulently obtained more $265,000 in GST refunds and further tried to obtain $300,000. Pimm lodged 37 BAS for his fake business and falsely reported total sales, GST collected, GST on purchases made for the business, and GST credits the ATO owed him. He was sentenced to two years and six months in jail for obtaining and attempting to obtain a financial advantage by deception. Pimm is to be released on recognisance of $500 after six months' imprisonment. He is also to be required to be of good behaviour for three years and subject to the supervision of a probation officer for two years. All three were arrested under Operation Protego, which has taken compliance action against more than 57,000 alleged offenders – 105 convicted. Acting ATO Deputy Commissioner and Serious Financial Crime Taskforce chief Kath Anderson said these prosecutions sent a strong reminder that the ATO would bring those who commit fraud to account. 'Deliberate noncompliance has consequences. The ATO will actively pursue debts obtained through fraudulent GST funds, using all the tools at our disposal to recoup those funds. Those who seek to defraud the tax and super systems will get caught and face the full force of the law,' she said. 'We are equipped with resources, sophisticated data matching, analytics capability and intelligence sharing relationships. If you think you won't be caught, think again. 'These individuals face long-term consequences. Not only do they need to repay the money, but they will have a criminal record, which may affect their ability to secure employment, obtain finance or insurance and travel overseas. 'Engaging in GST fraud rips off your own community by stealing funds that would go to essential services, like health and education. 'Under the ATO's Counter Fraud Program, we will continue to grow the capability and tools we need to respond to fraud in an agile and sophisticated way, collecting data and information to prevent, detect and address fraud in close to real time.'
