Are Centrelink and ATO connected?

Are Centrelink and ATO connected?

Centrelink and the ATO have commenced a new data matching program in relation to the use of Single Touch Payroll (STP) data. Broadly, the program will involve the exchange of STP data from the ATO to Centrelink (or Services Australia) in relation to individuals that have a client relationship with the agency.

What information does Centrelink have access to?

Centrelink has very broad powers to demand information from any individual or organisation. For example, they can require your bank or your employer to give details of your financial transactions, or any other personal details that are relevant to your Centrelink entitlements.

Does ATO monitor bank accounts?

The purpose of the ATO data matching is to identify taxpayers who aren’t doing the right thing. The ATO can, and will, check your bank accounts, cross reference payments against an ABN and confirm missing income from your tax return.

How does ATO track your income?

We receive data from a range of sources, including banks, financial institutions and other government agencies. We validate this data and match it against our own information to identify where people and businesses may not be reporting all their income.

What triggers an ATO audit?

Not declaring all your individual income (including overseas income) The ATO has a sophisticated data matching system to detect undeclared income. If you are identified via their detection methods, this can trigger an ATO audit. Declaring all of your income includes both domestic and overseas sources.

Does Centrelink look at your savings?

Centrelink has very wide powers to thoroughly investigate deposits that have been made into your account. For example, it has the power to obtain your information from other government agencies as well as accessing information from banks, building societies and credit union accounts.

What triggers ATO audit?

How far back can the ATO audit?

four years
Time limit for ATO audit For individuals or businesses with more complex affairs, the period of review is generally four years. The time limit starts on the date the notice of assessment is issued by the ATO. There is no review time limit if the ATO considers the taxpayer’s actions are tax fraud or tax evasion.

Can Centrelink see my bank account?

We check your bank account information is up to date. We do this to check we paid you the right payment and amount in the past.

What happens if I lie to Centrelink?

If you lie to Centrelink about your circumstances, you may receive benefits that you would otherwise not be entitled to. Courts view Centrelink fraud very seriously and if found guilty you could face a sentence of imprisonment and will be required to repay the debt to Centrelink.