The ATO has released Your case matters 2012 which features key data and analysis regarding tax and superannuation litigation from 1 July 2007 to 29 February 2012. The ATO says these statistics are being published for the first time. Highlights from the data include:

  • around 70% of taxpayer litigation concerns income tax assessments;
  • 97% of tax and superannuation objections made in 2010-11 were resolved at the objection stage and another 2% were resolved prior to hearing;
  • 80% of taxpayers chose tribunals to litigate their issue;
  • overall in 2010-11 there were 270 tax and superannuation court cases in progress;
  • in 2010-11, there were 12 test case decisions, 8 of which clarified the law, while the other 4 decisions resulted in the Government announcing changes to the law; and
  • the ATO spends around $81m per year on legal costs including litigation and other legal services.

 [LTN 81, 1/5]