H&R Block director of tax communications Mark Chapman dishes on tax cheat dobbers

Growing numbers of Australians are realising people who cheat the Tax Office are indirectly cheating the community. Here’s what to do about it.

• How private health insurance hikes affect you
• Aussies flock to first homebuyer loan scheme

Tax dodgers are in the firing line – and not just by the Australian Taxation Office.

Individuals have become more willing to dob in tax cheats and also more willing to put their names to their complaints.

New ATO data shows 27,000 tip-offs have been made to its Tax Integrity Centre since July 1 – about 150 a day – and referrals have been at record highs.

ATO assistant commissioner Peter Holt said honest businesses and workers were reporting the black economy more “because they are sick and tired of this kind of behaviour”.

“It’s effectively stealing from the community,” he said.

H&R Block’s Mark Chapman says the boom in tax dobbers comes as Australians realise tax evasion is a cost to the community.

Mr Holt said the main categories of tip-offs received were related to:

• Not declaring income

• Demanding cash from customers or paying workers cash-in-hand

• When someone’s lifestyle did not appear to match their income level

• Not reporting sales

He said the proportion of people who left their contact details with the ATO when they provided a tip-off had more than doubled in a year to 53 per cent.

This showed “the community has had enough of this kind of mischief” and genuinely wanted to stop cheats.

People can make a tip-off by phoning the ATO’s black economy hotline on 1800 060 062 or completing a form at ato.gov.au/tipoff or via the ATO app.

“It’s a good idea to include as much detail as possible,” Mr Holt said.

H&R Block director of tax communications Mark Chapman said Australians were realising tax evasion was a cost to the community.

“People get irritated when tradies try and hustle for cash,” he said.

“Who has cash these days? That can be a spur to dobbing them into the ATO, and there’s a moral aspect as well.”

MORE NEWS

New Aussie products China is now craving

What to consider before donating to the bushfire appeal

French pens love story to Australia

Mr Chapman said the ATO had become better at uncovering dodgy tax schemes, and had access to huge amounts of information from businesses and government agencies.

“They have far more data to build up a picture of taxpayer’s asset base,” he said.

Originally published as H&R Block director of tax communications Mark Chapman dishes on tax cheat dobbers