Wickenby crackdown changes practices
The Australian Taxation Office (ATO) has claimed that its highly public Project Wickenby crackdown on illegality involving international transfers and other practices has succeeded in reducing questionable behaviour on the part of taxpayers.
The Second Commissioner for Taxation, Bruce Quigley, told a conference in Brisbane that Project Wickenby has succeeded in changing attitudes.
“Wickenby is now five years old and tracking very well,” he said. “By June we had completed nearly 1,200 audits, raising liabilities of nearly $730 million.”
Quigley said that 57 people had been charged and 11 people had been convicted of serious offences, with 26 criminal convictions currently underway.
“We’ve also seen the impact in what we’re calling the ‘compliance dividend’ — that is, the revenue raised from taxpayers who become more compliant following a Wickenby investigation,” he said.
Quigley said that Wickenby was also having a notable deterrent effect in circumstances where data collected by AUSTRAC had shown a 30 per cent reduction in the flow of funds from Australia to Vanuatu, Switzerland and Liechtenstein, where the project has had a focus.
He said this was compared to a 5 per cent reduction in other major haven jurisdictions.
AUTHOR
Mike Taylor
Recommended for you
Two law firms have highlighted licensees’ responsibility to ensure they have sufficient cyber security measures in light of the enforcement action against Fortnum Private Wealth.
A former director has pleaded guilty to providing financial product advice without holding an AFSL which saw almost $2 million transferred to him.
Commonwealth Private Limited, a subsidiary of Commonwealth Bank of Australia, has launched a wholesale offering with the help of JPMAM.
Shaw and Partners’ new national head of private wealth believes the biggest challenge for financial advisers right now is being able to deliver efficient advice delivery amid a complex regulatory environment and growing investment universe.
