There have been a number of issues with data matching for capital gains tax (CGT) purposes, including:
- Institute members have been receiving letters from the Tax Office that contain factual inaccuracies that have been used to calculate CGT owed;
- The letters do not seem to take into account information which was previously given or which should have first been sought prior to calculating the CGT; and
- The Institute questions whether the Tax Office approach causes unnecessary disruptive work for tax agents
This submission also reiterated a prior submission to the IGOT regarding data matching in the context of excess contributions tax (ECT), where The Tax Office has, on several occasions, been issuing incorrect ECT assessments as a result of administration issues. Click here for a copy of the prior submission.
Click here to access a copy of the Institutes' submission to the IGOT.