6. Accounting Data Based Case Selection

Malcolm Allen outlined the work underway to scope what may be possible in the areas of improvement to risk detection through:

the automated and regular acquisition of taxpayers’ accounting data

the acquisition of this data via Standard Business Reporting’s (SBR) standard and open formats, and

improved use of analytical tools for risk identification.

The benefits to large taxpayers include:

Standard, open formats that allow re-use of information by taxpayers across a range of reporting obligations reducing overall compliance costs

Data could be reused for internal/external reporting, auditing, monitoring and business intelligence processes

Reduction in the incidence of unnecessary compliance activity, leaving more taxpayers untouched

Detection and resolution of possible risks nearer to real-time, reducing costs associated with data retrieval and legacy issues

Time taken on reviews and audits will be reduced due to better targeting of information requests and a greater initial understanding of taxpayers’ businesses.

Malcolm informed members that the ATO will commence consultation with taxpayers, intermediaries, software vendors, standards bodies and partner agencies in the near future on this project.

Malcolm referred members to the speech delivered by Second Commissioner Jeff Leeper to the Advanced Professional Solutions Annual Client Conference, in Queenstown, New Zealand on 16 November 2013. In particular, Jeff outlines the main headlines of our 2020 vision which related to this project.

A link to this speech is below:


    Last modified: 30 Jun 2014QC 39944