• Schedule B: GST budget and administration activities

    Table 5 - Actual, estimated and projected budgets

    Expenditure by program deliverable – $m

    2012–13 Actual

    2013–14 Actual

    2014–15 Estimated

    2015–16 Projected

    1.2 Design and build administrative solutions

    37.3

    36.0

    36.0

    36.0

    1.4 Legal services

    18.2

    19.3

    19.4

    19.4

    1.5 Law assurance

    5.0

    3.8

    3.8

    3.8

    2.1 Registrations

    15.9

    17.6

    17.7

    17.7

    2.2 Processing and accounts

    62.2

    45.1

    45.2

    45.3

    2.3 Customer contact

    33.3

    36.1

    36.2

    36.3

    2.4 Debt collection

    99.7

    92.7

    93.0

    93.2

    3.1 Marketing and communication

    13.9

    10.8

    10.9

    10.9

    3.2 Interpretative assistance

    57.8

    56.5

    56.7

    56.8

    3.4 Active compliance – ATO

    255.6

    266.4

    267.7

    268.2

    3.4 Active compliance – Australian Customs and Border Protection Service

    53.0

    53.2

    52.9

    53.0

    3.5 Compliance intelligence and risk management

    38.9

    43.2

    43.4

    43.5

    E1.5 Issues management and support to scrutineers

    14.5

    9.7

    9.8

    9.8

    Total GST administration expenditure*

    705.3

    690.4

    692.7

    693.9

    Notes

    • Actual GST administration costs for 2013–14 are preliminary results. The costs are subject to an ANAO special purpose audit which is expected to start in September 2014.
    • The 2014–15 estimated expenditure and 2015–16 projected expenditure against each program deliverable has been based on the actual expenditure against each deliverable for 2013–14 and may change.
    • Totals may differ from the sum of components due to rounding.
    • As at August 2014.

    Schedule C: Monitoring and review arrangements

    Reporting arrangements

    All reporting obligations to the GST administration subcommittee (GSTAS) through the GST policy and administration subgroup (GPAS) have been met.

    The following GST administration reports were provided to GPAS during 2013–14:

    • 2012–13 Annual performance report
    • 2013–14 September quarter performance report
    • 2013–14 Mid-year performance report
    • 2013–14 March quarter performance report.

    In terms of ATO governance for GST, there were specific and formal bi-monthly ATO GST Product Committee meetings chaired by the Deputy Commissioner of Indirect Tax and attended by the States and Territories Representative. The purpose of those meetings was to monitor the performance and conformance of the GST product. Special briefings to the States and Territories Representative were also provided by the Deputy Commissioner of Indirect Tax on a monthly basis.

    GST benchmarking survey

    In 2011, we commissioned a major program of research to be conducted, to inform, support and monitor the program’s effectiveness. Phase four of the research was conducted during 2013–14 and results are included in this report. The research includes attitudes and behaviours underpinning compliance and barriers to compliance.

    The research found the majority of businesses continue to be confident about meeting their GST obligations, however, on time lodgment of BAS remains one of the biggest challenges for business in terms of GST compliance.

    Independent reviews of GST

    The Australian National Audit Office (ANAO) undertook a number of audits focused on compliance activities. The audits covering GST included a review of annual compliance arrangements with large corporate taxpayers and a review of our compliance effectiveness methodology. The Inspector-General of Taxation (IGT) undertook a review of compliance risk assessment tools. These reviews are still to be finalised.

    Our Fraud Prevention and Internal Investigations area undertook a review of potential fraud and corruption risks associated with GST refunds. The draft report found that our existing detection control framework and practices were sound.

    In response to last year’s IGT review of the ATO’s use of early and alternative dispute resolution (ADR), we undertook an ADR facilitation pilot, and now have trained facilitators for GST. Over 60 cases have gone to some form of ADR during 2013–14.

    Audit arrangements

    The costs of administering the GST are subject to independent audit by the ANAO. The ANAO is in the process of undertaking the special purpose audit of GST costs and systems for 2013–14. The ANAO is expected to complete this audit by the end of December 2014. In auditing our costs of GST administration, all previous audits have resulted in the ANAO issuing an unmodified audit opinion.

    ATO corporate surveys

    In 2013–14, we conducted the final iteration of the ATO community perceptions survey 2013, and transitioned to a new single corporate perceptions survey (the single survey).

    The single survey replaces five previous surveys including the previously reported ATO professionalism and tax practitioner surveys. It aims to gauge overall community perception of our reputation, service delivery performance and key social norms that affect willing participation in the tax and superannuation systems.

    When available, survey results are published on ato.gov.au

    Community perceptions survey

    The community perceptions survey was an online survey of 1,309 Australian adults, including 300 people who had contact with us in the last three months.

    The November 2013 results showed no major change in our reputation compared to the previous survey. Perceptions remained positive, with respondents mostly supportive about our professionalism, being appropriately firm and displaying a service ethic.

    The November 2013 community perceptions survey was the last in this series.

    Single corporate perceptions survey

    We developed a new survey to provide a quarterly view (from all community segments) of perceptions of us as a government agency and administrator.

    Figure 1: Corporate perceptions survey – first iteration results (presented in June 2014)

    This diagram summarises the three key results of the 2014 Corporate perceptions survey: three in four customers are satisfied with our service; good service experience helps shape positive perceptions; and lower satisfaction levels among small and medium enterprises (this dissatisfaction appears to be driven by the online experience).

      Last modified: 22 Dec 2014QC 43515