Jul 2, 2013

Tax Office pursuit of offshore tax dodgers ramps up

The ATO will set up a new taskforce to catch businesses dodging tax by basing themselves offshore. It comes as the agency unsuccessfully pursued one company through the courts.

Chris Seage — Tax consultant and former ATO audit manager

Chris Seage

Tax consultant and former ATO audit manager

The Australian Taxation Office has vigorously pursued an offshore insurance company through the courts as, one lawyer involved in the case told Crikey, a “backdoor attempt to get multinationals like Google and Apple to pay more tax in Australia”.

That attempt failed; the High Court last month threw out the case against Crown Insurance Services Limited — fought all the way on appeal from the Administrative Appeal Tribunal via the full federal court. Now, as Fairfax reports today, a new ATO taskforce will be fast-tracked to “investigate whether highly profitable international companies doing business in Australia are deliberately avoiding Australian tax by moving profit centres overseas”.

Free Trial

Proudly annoying those in power since 2000.

Sign up for a FREE 21-day trial to keep reading and get the best of Crikey straight to your inbox

By starting a free trial, you agree to accept Crikey’s terms and conditions


Leave a comment

One thought on “Tax Office pursuit of offshore tax dodgers ramps up

  1. Serenatopia

    So the ATO loses in the High Court and their response is to become more aggressive—easy enough for them—especially with Konza leading the charge—someone needs to remind them that aggressive structures do not equate to tax evasion—oops!

Share this article with a friend

Just fill out the fields below and we'll send your friend a link to this article along with a message from you.

Your details

Your friend's details