Guest The Pom Queen Posted November 17, 2016 Share Posted November 17, 2016 THE flashy lifestyles of Australians who report modest incomes to the tax man are being dissected on social media. Facebook and Instagram posts flaunting overseas holidays, private schooling and business-class flights will be used to nab tax cheats as part of a crackdown on dodgy returns that understate income. The Australian Taxation Office aims to recoup billions of dollars worth of taxes on undeclared income, with the social media evidence used to complement intelligence gleaned through data matching, The Australian reports. So if your lifestyle doesn’t match the amount you earn on paper, your affairs could be under the microscope. According to the latest ATO *annual report, the tax office collected $9.6 billion from “compliance activities last year, more than two-thirds of it for income tax. It prosecuted more than 1300 individuals and 400 companies for offences ranging from noncompliance with lodgement obligations, to making false or misleading claims and keeping false records. There were 21 people convicted and sentenced for serious criminal matters, with penalties ranging from four to 87 months and reparation orders forcing taxpayers to pay back about $4.5 million. “We will continue to use more sources and more sophisticated intelligence to target compliance action on those who warrant such action,” ATO Commissioner Chris Jordan said in the report. Quote Link to comment Share on other sites More sharing options...
Diane Posted November 17, 2016 Share Posted November 17, 2016 Oh dear, I'll be in trouble then - we got a business upgrade last time we flew to the UK because my parents transferred their airmiles to us, the kids went to private schools because they both got scholarships, and I am queen of bargain hunting for holidays!! Hi ho hi ho, it's off to jail I go.... Quote Link to comment Share on other sites More sharing options...
newjez Posted November 17, 2016 Share Posted November 17, 2016 Oh dear, I'll be in trouble then - we got a business upgrade last time we flew to the UK because my parents transferred their airmiles to us, the kids went to private schools because they both got scholarships, and I am queen of bargain hunting for holidays!! Hi ho hi ho, it's off to jail I go.... did you not declare all this?last time I checked windfall gains were tax free. Quote Link to comment Share on other sites More sharing options...
Diane Posted November 17, 2016 Share Posted November 17, 2016 did you not declare all this?last time I checked windfall gains were tax free. Is there somewhere on the tax form to declare airmiles? Quote Link to comment Share on other sites More sharing options...
Gbye grey sky Posted November 17, 2016 Share Posted November 17, 2016 THE flashy lifestyles of Australians who report modest incomes to the tax man are being dissected on social media. Facebook and Instagram posts flaunting overseas holidays, private schooling and business-class flights will be used to nab tax cheats as part of a crackdown on dodgy returns that understate income. The Australian Taxation Office aims to recoup billions of dollars worth of taxes on undeclared income, with the social media evidence used to complement intelligence gleaned through data matching, The Australian reports. So if your lifestyle doesn’t match the amount you earn on paper, your affairs could be under the microscope. According to the latest ATO *annual report, the tax office collected $9.6 billion from “compliance activities last year, more than two-thirds of it for income tax. It prosecuted more than 1300 individuals and 400 companies for offences ranging from noncompliance with lodgement obligations, to making false or misleading claims and keeping false records. There were 21 people convicted and sentenced for serious criminal matters, with penalties ranging from four to 87 months and reparation orders forcing taxpayers to pay back about $4.5 million. “We will continue to use more sources and more sophisticated intelligence to target compliance action on those who warrant such action,” ATO Commissioner Chris Jordan said in the report. A typical non-story this. HMRC would put this sort of story out in the UK in the hope that a few might use it as a prompt to come clean. In reality an investigator might try to access a target's FB page to garner some background information but not as some general trawl as they would not have the time. Quote Link to comment Share on other sites More sharing options...
starlight7 Posted November 17, 2016 Share Posted November 17, 2016 Haha- maybe they will give us a rebate when they see how poor we are then? Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted November 17, 2016 Share Posted November 17, 2016 Little place for individuals to hide wealth these days with the recent banking international agreements. All accounts must be declared and any interest or other earnings, for example from rents, house sales or whatever very likely to be reported to tax authorities in country of residence. I doubt if Facebook would be especially targeted, but why would anyone right any personal details there anywhere? Quote Link to comment Share on other sites More sharing options...
TiaCapan Posted November 17, 2016 Share Posted November 17, 2016 Oh good.... when he takes a look on my Facebook....he might take pity and give me a refund! Quote Link to comment Share on other sites More sharing options...
Ken Posted November 17, 2016 Share Posted November 17, 2016 A typical non-story this. HMRC would put this sort of story out in the UK in the hope that a few might use it as a prompt to come clean. In reality an investigator might try to access a target's FB page to garner some background information but not as some general trawl as they would not have the time. Only 21 people convicted? That's definitely a non-story. There must be millions (no exaggeration) of people taking cash in hand and not declaring it. Quote Link to comment Share on other sites More sharing options...
Gbye grey sky Posted November 17, 2016 Share Posted November 17, 2016 Only 21 people convicted? That's definitely a non-story. There must be millions (no exaggeration) of people taking cash in hand and not declaring it. If tax investigations are anything like those in the UK then prosecutions are understandably rare. Compiling evidence and conducting a criminal case for tax evasion is very time-consuming, expensive and difficult. Easier to go down the civil route and prosecute only a small number of clear-cut cases as the taxman needs to be 100% certain of a conviction. Proving cash-in-hand transactions in a court is nigh on impossible. Quote Link to comment Share on other sites More sharing options...
Beaty Posted November 17, 2016 Share Posted November 17, 2016 The low hanging fruit is always tempting... B Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted November 17, 2016 Share Posted November 17, 2016 Hence the push for a cashless society. As long as cash is circulated there would be little to convict the average cash in hand transaction, I expect. Greed and flashy behaviour and boasting to people being the giveaways. Quote Link to comment Share on other sites More sharing options...
deryans Posted November 17, 2016 Share Posted November 17, 2016 Oh dear, I'll be in trouble then - we got a business upgrade last time we flew to the UK because my parents transferred their airmiles to us, the kids went to private schools because they both got scholarships, and I am queen of bargain hunting for holidays!! Hi ho hi ho, it's off to jail I go.... wouldn't worry, it seems you can simply walk out of jail in SA these days.. Quote Link to comment Share on other sites More sharing options...
newjez Posted November 18, 2016 Share Posted November 18, 2016 Is there somewhere on the tax form to declare airmiles? probably the monetary value of the gift. Big brother is watching! Quote Link to comment Share on other sites More sharing options...
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