+61 3 9629 7300

Welcome to Companies Express

info@compex.com.au
What is the ATO? The future of the ATO
May 6, 2022
Olivia Smith
Australian Taxation Office

ATO stands for Australian Taxation Office. It is the principal revenue collection agency in Australia.

The organization administers Australia’s tax system and manages the significant features of the country’s superannuation system. The agency looks over the legislation governing tax, superannuation, and the Australian Business Registry Services. Besides, it supports the delivery of government benefits to the community.

Corporate Plan

The corporate plan is the ATO’s primary planning document. The agency prepares the program per the public governance. Its role in supporting the Australian community through recent challenges facilitates the Government’s commitment to transformation. The administration can continue pursuing its goals for 2024. The Government is also set to build trust and confidence in the tax and superannuation systems, thereby generating a streamlined, integrated, and data-driven future.

ATO, in the coming decades

Laying the foundation of the future tax system

The Australian Taxation Office has been on a transformation journey for several years. The market research team does continuous surveys to understand the people’s needs and are moving on the right path.

The agency has always aspired to build trust and confidence in people. They have always been systematic, integrated, and data-driven in the path to fulfilling their commitment. With their effort and perseverance, they are now one of the top effective tax administrators who can tailor their engagement with taxpayers based on their needs.

Audits alone cannot help maintain the integrity of the tax system. Therefore, ATO puts much less reliance on audits. Instead, data-based systems work with much more efficiency to help the agency analyze the crooks to the taxpayers.

Again, over-dependence on digital and data has also created new challenges. The company management is concerned about protecting the data from increased cyber security threats. The rise of cryptocurrency as a leading exchange medium also needs serious consideration.

Customized engagements based on tax performance

To the pleasure of the Government, most Australian taxpayers are honest and keen to clear the dues at the correct hour. Australian Taxation Office also likes to uphold their spirits by providing suitable systems and support.

However, the agency is keen to bring total success in its tax-collecting effort. It thus uses the tax gap information and insights across all markets. Based on the result, the company can tailor its engagement strategies and is, therefore, able to direct the resources to bring out optimally effective results.

The management has decided to work in an open, collaborative, and constructive way with large business units in the country. One-on-one discussion with the larger Australian economic groups has helped the administration assure that the companies never evade tax but pay the correct amount instead.

The management continuously monitors the top ‘100’ most prominent public and MNC businesses in the country. The effort worked as more than three-fourths have offered medium or high assurance.

For the general markets, the agency observes an entirely different approach. The number of genuine taxpayers is much higher in these markets, and the company representatives hardly find any time for personal engagement. Therefore, it uses data-driven strategies in these markets. Practical data helps them direct the investment to the right places and positively affect the bottom line.