The ATO are watching.
As written about in December 2019, the progression of technology is now assisting the ATO to ensure compliance among business and personal tax and superannuation obligations and to assist in detecting fraud. For the full article, please click here.
This month the ATO will begin to supply Services Australia with a list of all employees nominated for JobKeeper by an eligible employer to cross-check with Services Australia’s list of social security customers and claimants. The cross-reference of these two databases will allow identification of the population of people who may be registered for the JobKeeper program and social security payments.
Individuals receiving JobKeeper ($1,500 per fortnight) from their employers may be earning above the income cut-off and unable to also be entitled to a social security payment. Once these individuals are identified as not correctly declaring their JobKeeper income, they will be contacted and reminded of their reporting obligations.
Example correspondence from Services Australia will read, “The Australian Taxation Office has given us information that you may be receiving JobKeeper payment. The JobKeeper payment may change the amount of Centrelink support you are receiving. It is important that you report any income you and or your partner get from your employer(s); this includes the JobKeeper payment. If you don’t report all your income, we may pay you too much and you may have a debt to pay back.”
If the customer does not provide the required information within a reasonable timeframe the agency may suspend or cancel the customer’s social security payment.
This data-matching program is expected to run until October at a minimum however may be extended with the rollout of JobKeeper 2.0.
If you have any questions, please reach out to our team by phone 02 9415 1511 or by email firstname.lastname@example.org.