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Coffee shops now an ATO target
The ATO says that it is making it harder for people in business who deliberately use cash transactions to hide income and evade tax obligations.
Cash Economy
The focus of this work is on industries which have ready access to cash in their business dealings. Examples include businesses in the hospitality industry such as coffee shops.
This expanding net now includes coffee suppliers' store trade account information, with their customers' purchase information being available to the ATO. From this information, the ATO says it will be able to tell if a business is skimming cash.
Information received about coffee shops buying more than 15 kilograms of coffee a week from suppliers will be checked by the ATO to ensure they are reporting all their business income.
Building industry data matching – trade accounts
The Tax Office has obtained details of individuals or businesses that hold a trade account with purchases between $10,000 and $3 million in the 2009/10 financial year from a major Australian warehouse chain. It will be using the details from those trade accounts in concert with its benchmarking process to review incomes returned. |
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