Personal living expenses

How we identify businesses for audit or review

We use a broad range of indicators to identify taxpayers for review or audit that may be avoiding their tax obligations, including:

• data matched from external sources suggesting inconsistencies in reported income, for example unreported income from
• other government agencies
• financial institutions
• trade suppliers
• comparing a business against Small business benchmarks for their industry
• businesses that report net income that appears to be lower than required to support the business operators personal living expenses
• monitoring the behaviour of previously audited taxpayers to encourage their continued compliance
• allegations of tax evasion sourced from the community.