ATO’s New Contractor Payments Data Matching Program
The ATO is requesting and collecting information in relation to payments made to approximately 75,000 contractors for the 2010 to 2013 income years.
The information they collect will be electronically matched with ATO data holdings to identify non-compliance with lodgement and reporting obligations under taxation law, and will enable the ATO to:
- identify and address the compliance behaviour of contractors who may not be correctly meeting their taxation obligations;
- be more strategic in its approach to determine appropriate educational and compliance strategies to encourage voluntary compliance for contractors.
Note: The ATO has a ‘decision tool’ on their website to help taxpayers work out the status of employees/contractors.