Compliance program 2011-12

Large businesses

The large market consists of over 1,300 economic groups and entities encompassing over 32,000 businesses.

The majority of large businesses are public companies, with government enterprises, not-for-profit organisations and superannuation funds also represented.

About 1,100 of these groups have a turnover greater than $250 million and because of their unique characteristics we manage the remainder within the large market.

We have a range of strategies to encourage long-term voluntary compliance - positively supporting compliant behaviours and discouraging negative ones.

In a recent initiative, we engaged with businesses to develop a reportable-tax-position schedule. The schedule helps businesses increase disclosure of their most contentious and material tax risks.

We expect to issue around 300 private and 100 class rulings to provide guidance on the application of the tax law to particular arrangements. We also need to conduct tax reviews on around 400 large businesses to check on whether tax risks are present in these businesses and tax audits on around 150 large businesses to resolve identified tax issues.

Sections within Large businesses

• Good tax corporate governance
• Working together
• Obtaining certainty
• Cooperative compliance
• Corporate restructures mergers and acquisitions
• Foreign residents
• Inappropriate outcomes involving consolidation
• Profit shifting
• Private equity - exiting Australia
• GST and international and cross-border transactions
• Non-resident withholding tax
• Stapled group financing
• Taxation of financial arrangements (TOFA)
• Financial supplies and GST
• Foreign partnerships
• Black-hole expenditure
• Exploration expenditure
• Tax and capital losses
• Research and development claims
• Property transactions and GST
• Superannuation funds
• Alternative fuels