The ATO has announced it will acquire details of insurance policies for certain classes of assets, including marine vessels, enthusiast motor vehicles, thoroughbred horses, fine art and aircraft where the value exceeds nominated thresholds for the 2013-14 and 2014-15 financial years. The ATO said it will obtain policy holder identification details (names, addresses, phone numbers, dates of birth, etc) and insurance policy details.
The data matching program will assist the ATO with profiling taxpayers (providing the ATO with a view of a taxpayer’s wealth), and identifying possible tax compliance issues. In relation to FBT, the ATO said the data may help it identify taxpayers who may be purchasing assets through their business entities, but applying those assets to the personal enjoyment of an associate or employee giving rise to a FBT liability.
It is estimated that records of more than 100,000 insurance policies will be obtained.
DISCLAIMER: The above information is general in nature, and must be tailored to your personal circumstances. The information is provided as a guide only.