Data-matching Program (Assistance and Tax) Act 1990

Overview

The Data‑matching Program (Assistance and Tax) Act 1990 was enacted to facilitate the matching of data between assistance and tax agencies to identify discrepancies and prevent fraud, waste, and abuse in the provision of personal assistance and tax benefits. This Act was introduced by the Parliament of Australia with the aim of enhancing the efficiency and accuracy of the data-matching process, ensuring that government resources are allocated correctly and that taxpayers and recipients of personal assistance are treated fairly. The Act specifies the roles of various agencies, including the matching agency and source agencies, in the data-matching cycle and mandates the compliance with privacy rules and the protection of personal information. This legislative framework ensures that data matching activities are conducted systematically and transparently, while safeguarding individual privacy rights.

Scope and Application

The Data-matching Program (Assistance and Tax) Act 1990 applies to the matching of data in relation to certain assistance and tax. This Act applies to the officers of the Social Services Department, the Chief Executive Centrelink, Departmental employees (within the meaning of the Human Services (Centrelink) Act 1997), the Education Department, the Social Services Department, the Veterans’ Affairs Department, the Human Services Department, the tax agency, the Commissioner of Taxation, and any other assistance agencies as defined in the Act. This Act also extends to Norfolk Island as per section 3B. The Act provides for the matching of data between agencies to ensure that personal assistance and tax are accurately administered. The data matching program consists of cycles where data is collected, checked, matched, and results are reported to the relevant agencies. Source agencies can then take action based on the results, such as adjusting personal assistance payments or issuing tax assessments. The Act ensures that any data matching is done in compliance with privacy rules and that there are mechanisms for investigating and addressing breaches of privacy. The Act allows for the delegation of certain powers and the making of rules by the Secretary of the Social Services Department and the Information Commissioner, extending its application through subordinate instruments.

Key Provisions

• The Data‑matching Program (Assistance and Tax) Act 1990 (Cth) governs the matching of data between agencies to ensure the correct administration of personal assistance and tax. Under section 6, data matching is to be conducted in cycles, with no more than nine cycles per year, and only one cycle can be in progress at any one time. The steps of a data matching cycle, outlined in section 7, involve the collection and matching of basic data and tax data to identify discrepancies or inconsistencies in personal assistance claims and tax records. Agencies involved in the data matching process, known as source agencies, can take action based on the results of a data matching cycle, subject to the provisions of section 10, which governs the use of data matching results. Section 11 imposes notice requirements on assistance agencies and the tax agency before they can take certain actions based on data matching results. The Act also includes provisions to protect privacy, with rules issued by the Information Commissioner under section 12 governing the handling of personal data during the data matching process. Complaints about breaches of privacy can be made to the Information Commissioner under section 14, and investigations into breaches of privacy can be conducted by the Commissioner under section 13. Confidentiality of information obtained through the data matching program is enforced under section 15, with penalties for unauthorised disclosure.
• The Act imposes several obligations on the parties it governs. The Secretary of the Social Services Department is responsible for ensuring that officers are designated for the matching of data under section 4. Source agencies must use data matching results to inform their decisions and actions, and they are required to destroy particular information received from a data matching cycle within 90 days if it is not used for action or investigation, as stipulated in section 10. Assistance agencies and the tax agency must provide written notice to affected individuals before taking certain actions based on data matching results, as outlined in section 11. All agencies involved in data matching must comply with privacy rules issued under section 12 and report on their data matching activities to the Information Commissioner and relevant Ministers, as specified in sections 12 and 15.
• Breaches of the Act can result in civil and criminal consequences. The unauthorised disclosure of information obtained through the data matching program by an officer of an agency is an offence under section 15, punishable by imprisonment for up to two years. Additionally, the Information Commissioner has the authority to investigate breaches of privacy and report findings to the Minister, with potential recommendations for compensation or other remedial actions, as detailed in section 13. The Minister may then report these findings to Parliament, highlighting any necessary actions to address breaches and prevent their recurrence.

Legal classification tags

Area of Law

Taxation Law

Privacy Law

Instrument

Act

Concepts

Definitions & Interpretation

Commencement Provisions

Enforcement Powers

Reporting & Disclosure Obligations

Civil Penalty Provisions

Prohibited Conduct

Rights & Protections