Australian Tax Organization (ATO) made available a new voluntary tax transparency code (TTC) a range of principal and minimal standards for middle and big companies.
The Tax Code was developed by the Board of Taxes and Duties, and must be entered ATO. Adoption of this Code is voluntary and is intended to complement existing measures of tax transparency in Australia. Within the scope of the tax code, companies are encouraged to be more transparent, especially in terms of their international tax affairs, in order to improve the public’s understanding of how they comply with the tax laws of Australia.
The minimum level of information required in accordance with the tax code depends on the size of the business. A “medium business” is a business with Australian Code aggregate turnover of at least 100 million Australian dollars, but less than 500 million Australian dollars. A “big business” has aggregated TTC Australian turnover of 500 million Australian dollars, or more. Companies can choose to meet the minimum standards of the Tax Code by publishing an improved disclosure of tax information in their general purpose financial statements, taxes paid reports or other documents; no prescribed template or format for the contents of the tax code.
There’s no set time for the release of the annual report of the Tax Code. However, the ATO encourages companies from 30 June until the end of the year to adopt the Code for the year ended June 30, 2016.