Almost $1bn for ATO Tax Compliance
From 1 July 2025

The Government has allocated $999m over four years to support the ATO in enhancing its compliance programs:

• Tax Avoidance Taskforce
• Shadow Economy Compliance Program
• Personal Income Tax Compliance Program
• Tax Integrity Program (for medium and large businesses and high-net-worth groups)

These initiatives are expected to generate $3.2bn in returns, a threefold increase.

$700m in External Contractor Cost Reduction
The Government plans to further reduce its reliance on consultants, contractors, and labour hire, aiming to save $718m by 2028-29.

Funding for TPB to Enforce New Standards
From 1 July 2025

The Government will provide $27.4m over four years to the Tax Practitioners Board (TPB) to target “high-risk practitioners,” who are:

• Incompetent, incorrect, or lodge false returns
• Have a poor compliance history with their tax returns
• Fail to meet personal tax obligations
• Have allegations of fraud or criminal activity
• Promote aggressive tax schemes

This funding is expected to result in $47m in additional tax receipts.

Note: These two points are highlighted as they are key focus areas for TPB enforcement.

The Government is also planning updates to the tax practitioner registration framework, aiming to simplify the process for tax and BAS agents who return to the profession after a career break.