12 Jun 08 Review of ATO’s administration of large GST audits released
In a media release issued on 11 June 2008, the Assistant Treasurer, Chris Bowen, announced the release of the Inspector-General of Taxation's report "Review of the Tax Office's administration of GST audits for large taxpayers".
The Assistant Treasurer said that the ATO has agreed with most recommendations of the Inspector-General. The ATO acknowledges the need for more detailed and transparent reporting of the nature of its GST audit results in the large market and the need to improve its approach to cases dealing with margin scheme valuation issues.
The Inspector-General also recommended that the ATO fully remit general interest charge on revenue neutral transactions. The Inspector-General further recommended that the Government consult with the community on the need for legislative change concerning remission of general interest charge in revenue neutral situations and to address undesirable behaviour through the imposition of a penalty.
"In response to this recommendation, I have asked the Board of Taxation to consider the merits of the Inspector-General's recommendation for legislative change as a part of this review of the legal framework for the administration of the GST which I announced today," Mr Bowen said.
For a copy of the Assistant Treasurer's media release, No 2008/42, 11 June 2008, go here
For a copy of the Report, go here