Records for the sale, transfer and registration of vehicles valued at over $10 000 will be scrutinised for the 2013-14, 2014-15 and 2015-16 financial years. These records will be provided by the relevant state bodies, and data matched against the ATO’s own information from the same time period.
There are a number of compliance issues associated with owning and transferring motor vehicles, all of which will be investigated as part of the program. Areas of tax that are relevant to motor vehicles include: GST, income tax, FBT, luxury car tax, and fuel schemes.
Both incorrect calculations and failure to disclose relevant information will be targeted, as will taxpayers who have purchased vehicles at a price that is inconsistent with their taxable income.
Anyone who is concerned that there may be motor vehicle related compliance issues in previous tax returns should contact our office to discuss their situation.
The tax issues surrounding vehicles are complicated and often subject to change. It is therefore always advisable to seek professional advice in order to be confident that you are paying the correct amount of tax.