In terms of changes in claim types and frequency since the last update in the What’s Happening newsletter, we have noticed an increase in the activity of the relevant state based revenue office’s audit activity. In the states of WA, NSW and QLD, Payroll Tax audits are certainly on the rise and in VIC there has been a campaign aimed at collecting additional Land Tax in respect of land held in trusts which have been incorrectly registered as being held in a company.
The incidence of Australian Taxation Office (ATO) Superannuation Guarantee reviews and audits continues to increase with a common theme in these claims being that they are instigated by disgruntled employees and contractors ‘dobbing in’ the employer to the ATO for unpaid superannuation entitlements. The Fair Work Ombudsman continues to ramp up their audit campaigns against employers not paying the correct wages and entitlements to employees in a number of industries and locations across Australia translating to an increase in these claims.
The media hype surrounding audit activity on Self Managed Superannuation Funds is prolific. In conjunction with the ATO’s strategic shift to early engagement strategies and dispute resolution, as outlined in the 2014-15 Annual Report, these factors position the ATO for an increased focus on compliance activities. What this means for our Claims Department is a busy period ahead.
For more information on cyber insurance, please contact Accountancy Insurance on 1300 650 758 or email karen@accountancyinsurance.com.au.
- Keeping it clean - 2 May 2018
- Harmony between accounting firm merger and the Audit Shield service - 15 December 2016
- More than a fair share of audit activity - 19 October 2016
