As part of the ATO’s work to “tackle the black economy and protect honest business from those doing the wrong thing “, the ATO is visiting
- close to 500 business in and around Port Macquarie and Wauchope, NSW;
- around 700 small business in Broome, Cable Beach, Derby and Kununurra, Western Australia;
- around 350 small business in Darwin, Northern Territory
- around 500 small business in and around the Hornsby area (NSW);
- around 400 small business in Healesville, Victoria; and
- around 400 small business in Cooktown and Port Douglas, Far North Queensland.
According to Assistant Commissioner Peter Holt, there are a number of business in these areas not registered for GST or PAYG withholding, which can be a sign of the black economy, as well as a number of business with overdue income tax returns.
Other black economy signs that the ATO looks out for are things like lifestyle and assets far exceeding reported business income, sham contracting, a failure to provide payslips, or lack of merchant payment facilities like EFTPOS.
As part of the visits, ATO officers will also be providing information about recent changes, such as Single Touch Payroll and the extension of the Taxable Payments Reporting System to certain industries.
“Local visits provide us with an opportunity to talk to business owners and help them get things right. During the visits, we may discuss record keeping and payment facilities, outstanding lodgements, tax debts, and managing employee entitlements, such as superannuation”Mr Holt said.
Some business are more likely than others to get a visit from the ATO including:
- Residential building construction;
- Building completion and installation services;
- Other construction services;
- Building cleaning, pest control, and gardening services;
- Accommodation;
- Pharmaceutical and other store-based retailing;
- Automotive repair and maintenance;
- Cafes, restaurants, and takeaway food services;
- Personal care services;
- Computer system design and related services; and
- Adult, community and other education services.
The ATO plans to visit almost 10,000 business this financial year in all States and Territories, across a variety of industries, as part of their strategy to deal with the black economy.
The Tax Advisers’ Voice- NTAA
September 2019 Edition No 295
Ref: ATO media releases, 24 and 29 July, and 16 and 21 August 2019
