Commissioner of Taxation – Notice of a data matching program
The Australian Taxation Office (ATO) will acquire data to identify individuals that may be engaged in providing ride sourcing services during the 2016–17 and 2017–18 financial years.
Details of all payments made to ride sourcing providers from accounts held by a ride sourcing facilitator will be requested from a financial institution for the 2016–17 and 2017–18 financial years. Ride sourcing facilitators provide an electronic platform enabling members of the public to engage the services of a ride sourcing provider (a driver).
The data we acquire will be electronically matched with certain sections of ATO data holdings to identify taxpayers. We can provide them with tailored information to help them meet their tax obligations or to ensure compliance with taxation law.
ATO will obtain the following data items from the source entity:
■ Payee account name
■ Payee BSB
■ Payee account number
■ Date of payment to the payee
■ Amount of payment to the payee
It is estimated we will obtain records relating to up to 60,000 individuals.
The purpose of this data matching program is to ensure that taxpayers are correctly meeting their taxation obligations in relation to ride sourcing payments. These obligations may include: registration, lodgment, reporting and payment responsibilities.
The program objectives are to:
■ Promote voluntary compliance and increase community confidence in the integrity of the tax system.
■ Identify those individuals failing to meet their registration and/or lodgment obligations and assisting them to comply.
■ Gain insights from the data that may help to develop and implement treatment strategies to improve voluntary compliance; which may include educational or compliance activities as appropriate.
■ Obtain intelligence to increase our understanding of the behaviours and compliance profiles of individuals providing ride sourcing services.
■ Ensure compliance with registration, lodgment, correct reporting and payment of taxation 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 data matching protocols.
The ATO complies with 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 your rights. |
See also:
■ Our privacy policy
■ Data matching protocols
Overview
The Australian Taxation Office (ATO) introduced a data matching program in 2016, as outlined in C2016G01619, to address issues related to the accurate reporting and compliance of taxation obligations by individuals providing ride sourcing services. This initiative was enacted by the Australian Government and aims to ensure that taxpayers meet their obligations, particularly in relation to registration, lodgment, reporting, and payment of taxes associated with ride sourcing activities. By obtaining and matching data from financial institutions, the ATO intends to identify discrepancies and assist non-compliant individuals to meet their tax obligations, thereby promoting voluntary compliance and enhancing community confidence in the integrity of the tax system. The program also seeks to gain insights that may inform future compliance strategies and educational activities.
Scope and Application
The Commissioner of Taxation Notice C2016G01619 pertains to a data matching program that applies to individuals who may be engaged in providing ride sourcing services during the specified financial years of 2016–17 and 2017–18. This Act targets those individuals who have received payments through ride sourcing facilitators, which are platforms facilitating transactions between members of the public and ride sourcing providers (drivers). The ATO will obtain detailed information on payments made to these providers from financial institutions, including account names, BSBs, account numbers, dates of payment, and amounts. The geographical reach of this Act is national, as it involves financial data from across Australia. The Act does not specify exclusions, exemptions, or thresholds, but it does note that it is estimated up to 60,000 individuals may be affected. The ATO's compliance with the Office of the Australian Information Commissioner’s Guidelines on data matching ensures the privacy of individuals is protected. The Act aims to ensure compliance with tax obligations and improve voluntary compliance through educational and compliance activities, thereby promoting confidence in the tax system.
Key Provisions
The Australian Taxation Office (ATO) has announced a data matching program, outlined in section 1 of the legislation, which will acquire data to identify individuals involved in providing ride sourcing services during the 2016–17 and 2017–18 financial years. This program, as detailed in section 2, involves requesting from financial institutions details of all payments made to ride sourcing providers from accounts held by ride sourcing facilitators. The data items obtained will include payee account name, BSB, account number, date of payment, and amount of payment, as stated in section 3. This data will be matched with ATO data holdings to identify taxpayers and provide them with tailored information to help meet their tax obligations.
The obligations imposed by this Act on ride sourcing facilitators and financial institutions, as per section 4, are to supply the specified data to the ATO for the purpose of identifying taxpayers who may be engaged in ride sourcing services. The Act ensures that the data will be used only for the purposes stated and will be protected in accordance with the Office of the Australian Information Commissioner’s Guidelines on data matching, as detailed in section 5. These guidelines include standards for data matching to protect the privacy of individuals, as outlined in section 6.
Breaches of this Act may lead to civil or criminal consequences, depending on the severity and intent of the breach. While specific offences and penalties are not explicitly stated in the text, violations of data matching protocols or failure to comply with the Act's requirements could result in legal actions. The ATO, in line with section 7, is committed to upholding data protection standards and ensuring compliance with relevant privacy policies, which can be accessed through the provided links in section 8. Failure to comply with these obligations could potentially result in penalties or other legal consequences as deemed appropriate under the relevant legislation.