ato will demand access to records to corroborate tax claims In Australia we have a system of self-assessment for tax returns. This means that when you lodge your tax return, in general, what is in the return will be accepted by the ATO and your return will be issued accordingly.

However, the tax office can, and often does, review tax returns after the assessment has been issued and can contact you seeking clarification of certain items that you have claimed, or certain items of income which they believe you should have declared but have not.
The ATO regularly conduct checks and balances, and will perform an audit on any unusual expenses or claims.

Visit our information page about online tax to find out more- and follow the steps to lodge your tax online now.

What You Can Legally Claim In Your Tax Return And What Happens If The Tax Office Want Proof

Watch this video for an explanation on the obligations of taxpayers who wish to claim work-related expenses for computers phones and other electronic devices.

proving expenses are legitimate to the ato audit

If the discrepancies in your return are serious enough, the ATO will conduct a tax audit. This can take various forms, from simply a phone call right up to coming to your place of residence or office, and demanding access to documents.

If The ATO Ask For Evidence As Proof Of Expenses What Happens?

Watch this video for an explanation of how the ATO conduct random audits on regular tax payers to avoid false expense claims

Visit our How It Works page and follow the steps to lodge your tax online now.

investigators track down false tax expenses

It is important to note that if you can not prove what you have claimed in your tax return, that the tax office will disallow that claim. This can also trigger an audit, and they may contact you for clarification. The ATO also has the power to fine you between 20-100% of the tax avoided, and charge interest on any tax that you have avoided.

This Audio File Explains How The ATO Can Audit You Up To Five Years After Your Return Was Assessed