The Risks of Undisclosed Business Income: Lessons from a Recent Tribunal Decision (August 2024 Tax Update)

Relevant For:

Small business owners, particularly those with sales using cash.

Key Points:

• Incomplete sales records and suspicious cash deposits led to fraud/evasion findings.
• Purported gifts from family members were unsupported by evidence.
• The tax agent's unethical advice is under scrutiny, with referral to the Tax Practitioners Board recommended.
• Highlights the severe consequences of undisclosed income for both taxpayers and advisors.
• A reminder of the importance of integrity and full disclosure in tax matters.

Full Article:

In a recent Administrative Appeals Tribunal case,