Compliance program 2011-12

Property

Property transactions remain a high risk for compliance with GST. Some property transactions can be one off or unusual transactions not normally undertaken by a business. We will therefore monitor property transactions outside the traditional property industry sector.

A particular concern in the property sector is property developers claiming activity statement refunds during construction, but failing to fully report property sales, going into liquidation at that point.

To detect and deal with taxpayers not correctly reporting their GST on property transactions we will:

• improve our use of data-matching and analysis of property transactions and activity statements to inform businesses and their agents when we detect probable non-compliance - encouraging them to reassess the transactions and correct their reporting if appropriate
• continue our exchange of information and working with state and territory revenue offices to improve community compliance with property-related income tax, GST and state government obligations.

This year we expect to conduct around 1,200 audits and reviews relating to property transactions.

Sections within Small-to-medium enterprises

• Private groups
• Highly wealthy individuals
• Wealthy Australians
• $100 million - $250 million segment
• Employer obligations
• Lodgment compliance
• Trusts
• Phoenix arrangements
• Overseas interests and international dealings
• Division 7A
• Capital gains tax
• Foreign residents
• Capital and revenue losses
• Restructuring by professional firms
• Fringe benefits tax
• Taxation of financial arrangements (TOFA)
• Small business and general business tax break
• Goods and services tax (GST)
• Refund integrity
• Property
• Retirement villages
• Integrity of business systems
• Financial supplies
• International and cross-border transactions
• GST serious evasion
• Excise
• Excise equivalent goods
• Tax reporting of exports including excisable goods
• Wine equalisation tax
• Alternative fuels
• Superannuation
• Managing business tax debt