Ongoing economic and financial globalisation, together with the expansion in e-commerce, international trade and cross-border flows within multinational enterprises, have meant a continued focus on ensuring Australia gets its 'fair share' of international profit. A key part of this strategy was engaging internationally with other administrations and organisations such as the Organisation for Economic Co-operation and Development to influence global strategies, undertake joint compliance activities, share intelligence and develop best practice.
This year, we:
- contributed to a number of forums on tax administration supported by the Organisation for Economic Co-operation and Development
- strengthened our relationship with the People's Republic of China State Administration of Taxes and hosted a joint training program with its large-business compliance officers
- strengthened our relationship with key regional tax administrations including the Inland Revenue Authority of Singapore, National Tax Agency Japan and New Zealand Inland Revenue
- participated as an active member of the Joint International Tax Shelter Information Centre in the deterrence of promotion and investment in abusive tax schemes
- supported the Study Group on Asian Tax Administration and Research by delivering technical papers at the annual conference and providing experts to deliver training across the Asian region
- participated in the annual meeting of the Commonwealth Association of Tax Administrators and were elected to the management committee for 2012–2014 representing the Pacific region.
Australia has an extensive network of double-tax treaties and tax information exchange agreements and is a signatory to the Multilateral Convention on Mutual Administrative Assistance in Tax Matters, resulting in 100 effective treaty partners.
During the year, we exchanged information on over 1,300 occasions under double tax agreements and tax information exchange agreements. The number of outgoing exchanges increased by over 17% compared to 2011–12. Exchange of information cases contributed to around $480 million of adjusted tax, penalties and interest.