If your clients receive government payments for delivering services such as healthcare, disability support or child care under a Commonwealth program, they have an obligation to:
- keep accurate records
- report the income they receive in their tax return.
Programs such as the National Disability Insurance Scheme (NDIS) and the Aged Care Subsidy deliver important services to Australians every day. It’s important that providers who receive government payments to deliver these services meet their tax obligations to ensure a level playing field for all providers.
We'll be contacting you and your clients in early February by email to ensure that income received from government agencies is reported correctly in their tax returns.
We’ve also updated our Government Payments Program (GPP) data-matching program protocol to better detect non-compliance and work more effectively with government entities to deliver greater system integrity and risk treatment strategies across government programs.
Our commitment to the Fraud Fusion Taskforce (FFT)
The FFT is a multi-agency initiative to combat fraud and serious organised crime - particularly targeting abuse of government payment programs.
As a member agency of the FFT, we are committed to strengthening payments integrity in government programs. This commitment is reinforced through the work of the ATO-led GPP and our collaboration with FFT participating agencies.
Under the FFT, we are piloting a project to support the government payments tax reporting requirements. This pilot aims to raise awareness of the program, improve understanding of reporting obligations and promote voluntary compliance among service providers. This will support the broader work we do as part of the GPP.
For more information on how your clients can meet their obligations by correctly reporting their GPP income, visit Government Payments Program.