ATO: Small business tax, cybersecurity and single-touch payroll top priorities for 2022-23

The ATO has today released its 2022-23 corporate plan to highlight its key focus areas and priorities over the next financial year. 

Included in the key focus areas are an improvement to small business tax performance, better management of cybersecurity, the delivery of innovative business registry services and an expansion to the use of Single Touch Payroll data.

In the Commissioner’s forward, Chris Jordan said the ATO has played an integral role in supporting the community through a challenging period over the past few years.

“We delivered vital stimulus to millions during the pandemic and proved we are much more than a revenue collection agency,” Jordan said.

“We are at the cutting edge of government service delivery, and we are continuing to undertake significant programs of work.”

The key focus areas for 2022-23 are as follows:

Improve small business tax performance

The ATO aims to improve SME tax performance by collaborating with partners to build a digital-first tax ecosystem. To do so, the ATO will develop a roadmap for the enhanced integration of tax and superannuation, as well as prototype concepts to streamline the tax experience.

Deliver innovative business registry services

Businesses are looking for more modernised registry services to make interacting with government a simpler process, which the ATO plans to focus on in coming months. The report reads that a key deliverable of this focus area is to “strengthen the integrity of the registry system by improving the quality and availability of registry and director identification number (director ID) data”.

Implement targeted strategies to address collectable debt

While supporting clients during COVID-19, the ATO recognised a growth in collectable debt due to certain adjustments — particularly in relation to small businesses. This year, the ATO will be resume firmer lodge and pay activities as existed pre-pandemic.

Expand the use of Single Touch Payroll data

Single Touch Payroll (STP) rolled out last year, and the ATO now plans to expand the use of STP data to simplify employer reporting obligations. Doing so will mean the tax office will be able to follow up employer non-compliance more proactively.

Transition to new data centre

The ATO is continuing its transition to a new data centre in order to deliver modern and secure IT infrastructure, both to safeguard ATO-held data and support business systems.

Manage cybersecurity

Cybersecurity is a continuing threat to businesses and the ATO itself, meaning protection against such is high on the tax office’s priority list. It plans to “apply a defence-in-depth approach with multiple layers of security to fortify our organisation against cyber threats and to safeguard our systems”.

Enable data and digital investment through sustained efficiencies

The ATO endeavours to continue evolving its current services through data, analytics and digital investments. It will do so by finalising its digital strategy to provide the digital vision and objectives, and continuously review its investments to ensure they are directed towards a risk-based, data-driven future.