INTHEBLACK May 2025 - Magazine - Page 31
FINANCIAL ABUSE
IN THE TAX SYSTEM
Ruth Owen CBE, Australia’s
inspector-general of taxation
and taxation ombudsman, released
a report in April examining how
the taxation system is being used
as a weapon of financial abuse.
The report recommends a series of
measures the Australian Tax Office
(ATO) and other organisations can
take to better combat the problem.
“It’s shocking that the tax system
is being used as a weapon to inflict
financial and emotional damage
on unsuspecting and vulnerable
individuals,” says Owen. “The stories
we heard during our review were
very disturbing, particularly because
so many victims only find out about
the abuse when they receive a bill
from the ATO.”
While the report recognised work
done by the ATO to prevent financial
abuse in areas like welfare and child
support, it said more needed to be
done in four key areas:
1. Increased training for frontline
ATO workers to help them identify
financial abuse, as well as a
specialist, central team to be
a point of referral.
2. More support and relief for
victim-survivors, including better
guidelines and procedures.
3. Holding perpetrators to account,
which includes a review of existing
powers and more accessible
communication channels for abuse
reporting.
4. More involved interaction between
the ATO and other government
agencies on financial abuse.
READ
an article on the
accountant’s role
in stamping out
financial abuse
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intheblack.cpaaustralia.com.au 31
