The ATO is warning the community to be on the lookout for dodgy online ads, often on social media platforms, that attempt to draw in people with the promise of easy GST refunds. While these ads may appear legitimate, they’re absolutely not – in fact, it’s fraud.
The ATO, through Operation Protego, is investigating around $850 million in potentially fraudulent payments made to around 40,000 individuals, with the average amount fraudulently claimed being $20,000. The ATO are working with financial institutions who have frozen suspected fraudulent amounts in bank accounts. The ATO has also stopped many more attempted frauds.
The fraud involves offenders inventing fake businesses and Australian Business Number (ABN) applications, many in their own names, then submitting fictitious Business Activity Statements in an attempt to gain a false GST refund.
The ATO is reminding the community that:
- The ATO does not offer loans. If you see someone advertising a way to get a loan from the ATO, this is a rort
- The ATO does not administer government disaster payments
- If you are not in business, you do not need an ABN
- Never share your myGov login details. You may be giving your identity directly to criminals who can use it to impersonate you, or sell it to other criminals
- Backdating when a fake business is set up to seek a refund will flag you as high risk and the ATO will take action
- False declarations may impact eligibility for other government payments
- The ATO has the data matching ability to detect these patterns and stop the fraud
- Stealing from the ATO is not a victimless crime, you are stealing from people in need of government support and people using public services such as schools and hospitals
- The ATO shares information with a range of government partners when responding to fraud, including law enforcement agencies
- If you engage in tax fraud, you will be caught
