Tax office uncovering Australia’s wealthy

Posted on Feb 9, 2016 by Accounting Directions

The ATO is currently working with insurance providers in a bid to identify wealthy Australians with policies that cover an expanded range of asset classes.

Last month, the office launched a data-matching program, which involves contacting insurers to distinguish policy owners of various classes of insured assets that are often associated with wealth.

Insurance policies that cover damages or losses related to marine, aviation, enthusiast motor vehicles, fine art and thoroughbred horses will all be coming under the tax office’s radar.

The ATO will use the information gained through the data-matching process to create a more accurate estimate of individual taxpayer’s actual wealth, so the office can provide tailored services to ensure that everyone meets their tax obligations.

The ATO anticipates that it will receive 100,000 records where the different asset classes meet certain threshold amounts.