ATO cracks down on fraud in third quarter
In the third quarter of 2011, 356 people and 122 companies were prosecuted and convicted of taxation and superannuation offences, according to acting Tax Commissioner Jennie Granger.
In the same period, 12 people received custodial sentences that ranged from two months to five years, she added.
"Those who are caught, face extremely serious penalties including criminal conviction, significant fines and imprisonment," Granger said.
The Australian Taxation Office (ATO) is currently targeting tax refund fraud, and uses leading technology, sophisticated national and international networks, and community intelligence to catch offenders, Granger said.
As an example of the ATO's recent effort to catch tax cheats, Granger cited an example of a Sydney man who was sentenced to five years in jail for deliberately lodging 41 false income tax returns totalling $180,000.
She also listed smaller-scale cases of return fraud, including an ACT bus driver who was convicted and fined $6,600 for failing to lodge tax returns; a NSW plumbing business that was convicted and fined $22,000 for failing to lodge income and GST returns; and a NSW concreting business owner who was convicted and fined $17,000 for 21 offences of failing to lodge business activity statements.
"Providing false or misleading information to the ATO is a criminal offence. If you do the crime, you will face the consequences - and they can be significant," Granger said.
Recommended for you
After seven years at the company, Iress’ chief technology officer for wealth management APAC, Anthony Gerrits, has departed as the firm commences a search process to fill the role.
With advice firms thinking about scaling up in 2025, research has detailed the main avenues financial advisers say they have used for successful recruitment.
The board of Insignia Financial has reached a decision regarding the possible acquisition of the firm by US private equity giant Bain Capital.
Six of the seven listed financial advice licensees have reported positive share price growth in 2024, with AMP and Insignia successfully reversing earlier losses.
