The Minister for Revenue and Assistant Treasurer, Senator Helen Coonan said the matters raised by the “Four Corners” program last night are being effectively dealt with by the Australian Tax Office (ATO).
The fact that several people are being prosecuted shows that the ATO has systems in place, in conjunction with such external regulators as the Australian National Audit Office (ANAO), to manage these risks, to minimise the likelihood of fraud and to detect and deal with such events.
The program focused on events that are alleged to have happened in a particular area of the ATO and are not representative of the vast majority of ATO employees.
“Any level of fraud is unacceptable, and naturally I am disappointed by these events. I note that the Commissioner of Taxation, Mr Carmody shares this disappointment,” Senator Coonan said.
“The ATO, as a large and diverse organisation dealing with large sums of money, necessarily has comprehensive systems in place to prevent, detect and deal with any employee who may be tempted to engage in fraudulent activity,” she said.
“In 2000, the ANAO confirmed that the ATO has a strong commitment to comprehensive fraud control.”
“The program’s suggestion of a further review into the ATO is not warranted.”
The Government considers that ensuring tax administration is transparent, accountable and responsive is critical to improving Australia’s tax system.
Senator Coonan said the Government is introducing an independent Inspector-General of Taxation who will focus on identifying, assessing and recommending solutions to systemic problems in tax administration.
“The Inspector General of Taxation is an election commitment of this Government and is an important plank in the raft of Government initiatives to improve the operation of the tax system”, Senator Coonan said.
Selection of a candidate for the appointment as the inaugural
Inspector-General of Taxation is at an advanced stage of consideration and
an announcement can be expected within the next few weeks.