Tax Office security put to test

The AustralianTaxationOffice(ATO) is set to launch an independent review of its information security policies and practices in response to two recent incidents that raised community concerns about the office’s security.

These incidents include the theft of a briefcase containing private information about two taxpayers from a Melbourne hotel room occupied by an ATO officer.

The incident, which happened three months ago, is now the subject of a police investigation.

The other incident involved the temporary loss of a computer disk containing taxpayer information at the Sydney ATO office. Although the disk was retrieved, the incident drew comparisons with a recent scandal in the United Kingdom where the private details of 25 million taxpayers were lost.

Tax Commissioner Michael D’Ascenzo said the review is intended to assure both himself and the community that Australia’s tax information security procedures are rigorous, up-to-date and reflect changes.

“I take security of taxpayer information very seriously. Nothing is more fundamental to good tax administration than the security of taxpayer information.

“While our security systems are sound, experience has shown that people will sometimes make mistakes. Where we can eliminate these possibilities, we will.”

The ATO has commissioned PricewaterhouseCoopers to conduct the review, which will include an assessment of:

· current policies and practices;

· how the ATO compares with industry best practice;

· the effectiveness of staff awareness programs;

· classification of information;

· emerging workplace trends, such as flexible, home-based arrangements; and

· protocols for the transfer of information.

“I hope to have a final report with PricewaterhouseCoopers’ findings and recommendations by March next year, at which time I will share the report and our future plans with the community,” D’Ascenzo said.