Tax return over-claimers gouge $8.7bn, says ATO

The Australian  |  Thursday 12 July 2018

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Individual Australians who overclaimed on their tax returns cost the federal budget almost $9 billion in the 2014-15 financial year alone, new analysis by the tax ­office has found.

For the first time, the Australian Taxation Office has published the income tax gap for individuals not in business, finding that the difference between the tax it collected and the amount that would have been raised if all taxpayers had been compliant amounted to a stunning $8.7bn, or 6.4 per cent of the total tax take for that category.