What's The Taxman Thinking? Vehicle Crackdown
Tue 11th Dec, 2012
The Tax Office has just announced a massive motor vehicle audit program. All individuals and businesses that have purchased a motor vehicle costing more than $10,000 in 2011/2012 or 2012/2013 will be targeted (some 2.8 million taxpayers in total).
The purpose of the program is to ensure that the FBT, luxury car tax and fuel tax laws (e.g. the correct claiming of fuel tax credits) have been complied with in relation to these vehicles.
This Tax Office audit is sophisticated in the sense that by using information from Transport Departments in each State and Territory, everybody who has purchased and sold a motor vehicle over the last two years will come under the Tax Office microscope to varying degrees. If you determine that you may be affected and are unsure whether you have correctly complied with your FBT, luxury car tax or fuel tax obligations, you should contact your accountant.