The ATO have announced that they are going to undertake a data matching exercise for real property transactions dating back to 20 September 1985.
They are becoming increasingly concerned that taxpayers are not correctly reporting transactions involving real property as these transactions often give rise to significant income tax and GST consequences.
They will be collecting data from various sources from each State & Territory including State Revenue Offices, Rental Bond Authorities and Land Titles Offices to assist them in data matching against income tax returns lodged.
The ATO have the ability to gain access to comprehensive information regarding property including:
They will also be able to obtain vendor & purchaser details, settlement date, transfer price and any state taxed applied.
Where the data matching identifies a disparity, the taxpayer will be contacted by letter and further explanation of the transaction will be required.
Please contact KK Partners Group to discuss your situation if you think this may affect you.