The ATO is collecting data from financial institutions and online selling sites as part of their data matching programs for credit and debit cards, online selling and ride sourcing.
The data will include:
· the total amount of credit and debit card payments businesses received
· online sellers who have sold at least $12,000 worth of goods or services
· payments made to ride sourcing drivers from accounts held by the ride sourcing facilitator.
The ATO matches this data with information they have from income tax returns, activity statements and other ATO records to identify any discrepancies.
Article courtesy of The Tax Institute
Online sellers need to consider at what point their activities constitute a business and at that point ensure they are set up for tax and GST matches. The ATO have been progressively increasing their data matching capability and the day will come when they can effectively manage and use the data.