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Data matching

Ensure your clients provide all their income when lodging their tax return early as we match it with third-party data.

Last updated 2 June 2024

Third-party data sources

We're committed to helping taxpayers get it right and protecting public funds from fraud and deliberate non-compliance. We use third-party data for a range of activities, including data matching.

We receive information from a variety of third-party sources, including:

  • employers
  • financial institutions
  • companies
  • private health funds
  • businesses
  • government agencies.

Prior to processing any tax return, your client's claims will be assessed against available data and information we have a high level of confidence in through data matching.

This ensures that taxpayers declare all of their income, offsets and exemptions correctly to reduce errors and prevent delays in the processing of tax returns.

Using pre-filled and third-party data

Most third-party data is pre-filled into taxpayer returns. Pre-filled data is available from early July, with most data finalised by the end of July. Some data may be received later, like trust distributions and employment data.

If you need to query an amount that has been pre-filled into your client's tax return, you can contact us.

If you change pre-filled information when you lodge a tax return or our data does not match the information you have entered for your client, we may adjust the claim based on our data and information.

We may contact you to ask why the pre-filled data in your client's tax return has been changed.

Where a lodgment has been adjusted and you and your client disagree with this decision, you can contact us to initiate a review on your client's behalf.

We'll always give you the opportunity to have this decision reversed if you can substantiate the original claim.

What to include in tax returns

Take extra care when preparing your clients' tax returns at the start of the financial year, ideally once their pre-filled data has been completed. Remind your clients they need to provide all the necessary information, including income or tax not already pre-filled (for example foreign income or partnership or trust income).

Some government payments are taxable but not pre-filled, such as pandemic leave and natural disaster payments. You will need to add these manually.

Clients with a spouse will need to provide a reasonable estimate of their income. This will enable an accurate assessment of their private health insurance rebate and any Medicare levy surcharge to be determined.

Expanding our data matching

Over recent years, we've become more sophisticated in our approach to data matching and how we utilise this information to help taxpayers get it right.

In 2021–22, we enhanced pre-filling bank interest. A 'certainty indicator' now appears where we have a high level of confidence your client received the bank interest as supplied by their financial institution. If the interest income does not belong to your client, you can adjust the amount but must provide a reason.

We continue to expand our reach and source high quality third-party data from other sources. This includes areas such as:

  • crypto asset transactions
  • sharing economy – accommodation providers
  • property management reports
  • novated lease vehicle information.