The Tax Commissioner, on Tue 18.12.2012, signed an annual compliance arrangement (ACA) with BAE Systems that is designed to provide certainty, strengthens compliance and reduces compliance costs for BAE and the ATO. The annual compliance arrangement covers BAE’s income tax and GST tax obligations.
Mr D’Ascenzo said the arrangements offered an innovative way forward for business to work closely with the ATO. “An ACA formalises the open and transparent relationship we seek to have with large business,” Mr D’Ascenzo said. He said it provided the ATO with an insight into an entity’s tax arrangements and provides a platform for business to raise tax issues with the ATO and to resolve disputes without litigation.
“The arrangements improve practical certainty for businesses by considering tax risks in real time and complement other products and services we offer, such as our rulings program. It offers a ‘no surprises’ approach which benefits both of us,” added Mr D’Ascenzo.
Source: ATO media release 2012/53, 18 December 2012
[LTN 245, 18/12]