Commissioner of Taxation - Notice of a data matching program
The Australian Taxation Office (ATO) acquires overseas movement data from the Department of Home Affairs (DHA) for individuals with an existing HELP, VSL or TSL debt. The data matching program will be conducted for the 2019-20, 2020-21 and 2021-22 financial years.
When living and working overseas with a Higher Education Loan Program (HELP), Vocational Education and Training Student Loan (VSL) and/or Trade Support Loans (TSL) you are required to:
■ update your contact details and submit an overseas travel notification if you have an intention to, or already reside overseas, for 183 days or more in any 12 months
■ lodge your worldwide income or a non-lodgment advice.
The program will identify HELP, VSL and TSL debtors to whom the HELP, VSL and TSL overseas obligations apply. We will assess their status against ATO records and other data we hold to identify debtors that may not be meeting their registration, lodgment and/or payment obligations.
The data items that will be obtained are:
■ Identifying particulars for the HELP, VSL and TSL debtor population (name, date of birth, ATO/DHA identifiers)
■ DHA overseas movement details (Passport number, passport country of issue, offshore status, departure and return dates) held on DHA system
The HELP, VSL and TSL debtor population affected by this data collection is expected to involve approximately 3 million individuals each financial year.
The objectives of this data matching program are to:
■ ensure participants with a HELP, VSL or TSL debt impacted by the law changes are receiving guidance materials, self-help information and support
■ ensure participants with a HELP, VSL or TSL debt impacted by the law changes are aware of their registration, lodgment and payment obligations
■ use insight gained to further develop educational strategies intended to promote voluntary compliance and strengthen community confidence in the integrity of the tax system
■ provide possible opportunities to satisfy the ATO’s wider compliance activities of registration, lodgement, correct reporting and payment of taxation and superannuation obligations.
A document describing this program has been prepared in consultation with the Office of the Australian Information Commissioner. A copy of this document is available at www.ato.gov.au/general/gen/data-matching-protocols/
The ATO applies the Office of the Australian Information Commissioner’s Guidelines on Data Matching in Australian Government Administration (2014) which includes standards for data matching to protect the privacy of individuals. A full copy of the ATO’s privacy policy can be accessed at www.ato.gov.au/privacy
Overview
The Commissioner of Taxation - Notice of a data matching program was enacted in 2019, addressing the need to ensure that individuals with a Higher Education Loan Program (HELP), Vocational Education and Training Student Loan (VSL), and Trade Support Loans (TSL) debt meet their overseas reporting and payment obligations. This initiative was introduced by the Australian Taxation Office (ATO) in collaboration with the Department of Home Affairs (DHA) and is intended to run for the 2019-20, 2020-21, and 2021-22 financial years. The primary objective of this data matching program is to enhance voluntary compliance among individuals residing overseas who have HELP, VSL, or TSL debts. This is achieved by ensuring they are aware of their obligations, providing necessary guidance and support, and leveraging the collected data to inform educational strategies and broader compliance activities. The program is designed to protect the privacy of individuals in accordance with the Office of the Australian Information Commissioner’s Guidelines on Data Matching in Australian Government Administration (2014).
Scope and Application
The Australian Taxation Office (ATO) has established a data matching program to acquire overseas movement data from the Department of Home Affairs (DHA) for the purpose of managing Higher Education Loan Program (HELP), Vocational Education and Training Student Loan (VSL), and Trade Support Loans (TSL) debts. This program, which will operate for the 2019-20, 2020-21, and 2021-22 financial years, is targeted at individuals who have an existing HELP, VSL, or TSL debt and who reside or intend to reside overseas for 183 days or more in any 12-month period. The program aims to ensure that these individuals are aware of their obligations to update their contact details, lodge their worldwide income, or submit a non-lodgment advice. The data collected includes identifying particulars such as name, date of birth, and ATO/DHA identifiers, as well as DHA overseas movement details including passport information and offshore status. The program is expected to impact approximately 3 million individuals annually and is conducted in accordance with the Office of the Australian Information Commissioner’s Guidelines on Data Matching to protect individual privacy. This initiative is part of the ATO's broader efforts to promote voluntary compliance and strengthen community confidence in the integrity of the tax system.
Key Provisions
The key operative sections of the legislation (C2019G00590) concern the Australian Taxation Office's (ATO) acquisition and use of overseas movement data from the Department of Home Affairs (DHA) to identify individuals with Higher Education Loan Program (HELP), Vocational Education and Training Student Loan (VSL), or Trade Support Loans (TSL) debts. Section 1 outlines the purpose of the data matching program, which is to assess whether individuals residing overseas for 183 days or more in a 12-month period are meeting their registration, lodgment, and payment obligations. The program will operate for the 2019-20, 2020-21, and 2021-22 financial years. Section 2 details the specific data items to be collected, including identifying particulars such as name, date of birth, and ATO/DHA identifiers, as well as DHA overseas movement details like passport numbers and departure/return dates. The program aims to ensure participants receive necessary guidance and support regarding their obligations and to promote voluntary compliance (Section 3).
The legislation imposes several obligations on the parties it governs. Firstly, individuals with HELP, VSL, or TSL debts who reside or intend to reside overseas for 183 days or more in any 12-month period must update their contact details and submit an overseas travel notification to the ATO (Section 4). Additionally, these individuals are required to lodge their worldwide income or submit a non-lodgment advice to the ATO (Section 5). The ATO will assess the collected data against its records and other data it holds to identify debtors who may not be fulfilling their obligations (Section 6).
Breaches of the obligations set out in the legislation may result in various consequences. The ATO will use the insights gained from the data matching program to further develop educational strategies aimed at promoting compliance and strengthening community confidence in the tax system (Section 7). The legislation does not explicitly outline specific penalties for non-compliance; however, failure to meet the obligations could lead to broader compliance activities by the ATO to ensure registration, lodgment, correct reporting, and payment of taxation and superannuation obligations (Section 8). Non-compliance may result in further scrutiny or penalties under other relevant taxation laws, which could include fines or other civil/criminal consequences depending on the nature and extent of the breach.