Accounting charter

Purpose

Terms of reference

The Australian Taxation Office (ATO) recognises the important role tax practitioners and tax industry representatives' play in the administration of the Australian tax system, and to support this role created the Accounting Working Group (AWG).

The forum provides an opportunity for a candid exchange of views and for all parties to gain an understanding of their respective situations. This understanding will provide a sound basis for the forum to identify, discuss and jointly resolve significant tax administration issues in relation to:

• the integrity of accounts and administrative processes that lead to the population of accounts, including client and tax role registration, activity statement processing, income tax return processing, and the processing of superannuation products
• the authenticity of the ATO's interest calculation systems (general interest charge (GIC), delayed refund interest (DRI),and interest on overpayments (IOP))
• interactions between ATO accounts, including offsetting practices
• account statements and timing
• refund processing controls
• pay as you go (PAYG) administrative processes and systems (in view of the cessation of the PAYG working party), and
• enhancements to electronic channel management.

Within its scope the AWG will:

• focus on collaborative approaches to making it easier for taxpayers and tax practitioners to comply, in the framework of mutual goals
• identify systemic issues in both ATO and tax practitioner administrative practices that need to be resolved, and help put strategies in place to resolve them
• share information about the future design of the administration of the tax system to maximise consultation and collaboration on the implementation of the design
• identify opportunities for co-design of the administration of the tax system and assist in enabling co-design, and
• communicate its work widely to tax practitioners, tax industry representatives, and to ATO staff to foster a shared understanding of its purpose.

Type of forum and length of term

The AWG is an administrative advisory group promoting an open and frank exchange of views between the ATO, tax industry professional associations and tax practitioners. The AWG reports to the ATO Tax Practitioner Forum (ATPF).

Length of term: The AWG is an ongoing administrative forum.

Decision making authority

The AWG acts in an advisory capacity to the ATO. The AWG assists the ATO in its decision-making role. However, ultimately decisions reside with the Commissioner. Tax officers involved in the consultation processes will follow ATO procedures, including escalation processes, for the resolution of significant issues. To that end, senior officers from the Client Account Services business line provide leadership from a ATO perspective.

Members of the AWG are encouraged to participate constructively in full and frank discussions on the various topics, and to make recommendations on particular products, services and administrative approaches.

Governance and relationships

Robert Ravanello, Chief Operating Officer, is the approver of this working group.

The AWG is a sub-committee of the ATPF.

History of establishment

As a result of the tax reforms introduced in July 2000, the AWG was formed to increase tax practitioners' understanding of all aspects of running balance accounts. The formation of the AWG was designed to improve tax practitioners' relationship with the ATO and better support their accounting needs. Over time, the role of the group has expanded to encompass all aspects relating to accounts and the administrative processes that lead to the population of accounts.