In exercising our powers under the law, we are committed to dealing with taxpayers and their advisers in a fair and professional way.
The Taxpayers’ Charter sets out the way we conduct ourselves when dealing with taxpayers. It will help you understand:
- what you can expect from us
- your rights and obligations
- what you can do if you are not satisfied.
Relevant technical terms used by the ATO.
Fraud: Fraud involves the making of a false statement which the person makes (Kajewski v FCT  FCA 258 at ; (2003) 2003 ATC 4375; (2003) 52 ATR 455):
- knowing it to be false, or
without belief in its truth, or
recklessly, being careless or indifferent as to whether it is true or false.
Evasion: The common test used to describe evasion arises from the High Court in Denver Chemical Manufacturing Co v Commr of Taxation (NSW) (1949) 79 CLR; 9 ATD 60, Dixon J stated:
"I think it is unwise to attempt to define the word 'evasion'. … it means more than avoid and also more than a mere withholding of information or the mere furnishing of misleading information. It is probably safe to say that some blameworthy act or omission on the part of the taxpayer or those for whom he is responsible, is contemplated."