The Tax Commissioner has released a “refreshed” version of Large business and tax compliance booklet. Mr Jordan said the publication “seeks to provide a tangible demonstration of [the ATO’s] commitment to transparency and accountability”. He said he was also “pleased to see the mutual expectations outlined in the LBTC publication are already being used to guide a consistent and professional relationship”.
The Commissioner noted the ATO’s risk-differentiation framework (RDF) has been refined and enhanced since the last LBTC publication 2 years ago. Mr Jordan added the ATO was now also extending the framework to small-to-medium enterprises and tax practitioners. The booklet set out factors the ATO uses to determine RDF categorisation and how it uses the RDF to address tax risk.
Mr Jordan said looking forward, the ATO remains “committed to administering the tax system efficiently and exploring ways to provide practical certainty”. He said the introduction of the reportable tax position schedule and pre-lodgment compliance reviews are part of this approach. “Both our reportable tax positions and pre-lodgment compliance reviews emphasise the importance we place on the early identification and resolution of issues and support our shift from post-lodgment compliance activities to a real-time engagement model,” the Commissioner said.
[LTN 86, 8/5/14]