1. Does the ATO think your client is risky?
The Tax Institute
Does the ATO think your client is risky?
Adrian Abbott Senior Consultant – Tax Advisory
Crowe Horwath
Michael Cranston Deputy Commissioner
Australian Taxation Office

2. Improving the tax and super experience
Every year counts

3. Improving transparency
Being upfront – online resource
Previously
Tax compliance for small-to-medium enterprises and wealthy individuals
NOW
Relevant and up-to-date information, including ‘Recent developments’
Guidance on the kinds of issues that draw the ATO’s attention
Find out more at

4. Improving transparency
Understanding the Risk Differentiation Framework
Risk Tolerance Threshold

5. Improving transparency
What attracts the ATO’s attention
Tax or economic performance not comparable to similar businesses
Lack of transparency in tax affairs
Large, one-off or unusual transactions, including transfer or shifting of wealth
History of aggressive tax planning
Choosing not to comply or regularly taking controversial interpretations of the law
Lifestyle not supported by after-tax income
Treating private assets as business assets
Poor governance and risk-management systems

6. Improving transparency
What attracts the ATO’s attention – current issues
Retirement planning arrangements involving SMSF’s
Capital verses revenue distinction
Research and development tax offsets
Wealth extraction through private companies and trusts
Pre- and post-CGT assets on transition or exit from a business
International tax issues including residency, profit shifting and asset disposals by non-residents

7. Recent developments Corporate Tax Transparency
Breakdown of the 321 companies subject to transparency reporting for

8. Recent developments High wealth individuals
Australian-resident individuals who, together with their associates, effectively control an estimated net wealth of $30 million or more
Recent developments:
Confirming high wealth individuals
Find out more at

9. Tailoring engagement
Income Tax Assurance Notification

10. Tailoring engagement
Income Tax Profile

11. Tailoring engagement Early engagement
We’re having one on one conversations with our largest private groups and market leaders to establish ongoing working relationships. Our conversations are based on real time issues, tax performances and Income Tax Profiles.
We’re also working towards providing whole-of-client experience service with visits focused on both income and indirect taxes.

12. Tailoring engagement Early engagement for advice
For clients seeking early engagement for advice on complex transactions we have provided a ‘single entry point’ to ensure the right experts and decision makers provide the certainty needed.
You can request a call back or advice request by visiting and searching early engagement for advice.

13. Tailoring engagement Tax governance – online guide
Practical benefits for business
Importance of governance
Key principles of effective tax governance
Working with us – client engagement
Key governance steps and processes
Tailored guidance for business events and complexity
Find out more at

14. Questions?

15. © June 2016 Crowe Horwath and Australian Taxation Office, Commonwealth of Australia
Disclaimer: The material and opinions in this paper are those of the author and not those of The Tax Institute. The Tax Institute did not review the contents of this presentation and does not have any view as to its accuracy. The material and opinions in the paper should not be used or treated as professional advice and readers should rely on their own enquiries in making any decisions concerning their own interests.