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Taxation Standardisation Project

Shared Services SA is currently undertaking a project to implement standard policies and procedures for the end-to-end management of our GST and Fringe Benefits Tax (FBT) review services. The recommendations from an external review of the current service delivery arrangements have been incorporated into the scope of the project.
 
The project aims to deliver the following benefits:
  • Confirmation of compliance with tax law
  • Standardisation of processes within Shared Services SA, thus reducing any reliance on agency-specific knowledge and enabling improved cross-skilling across the team
  • Improved measurement, tracking and reporting of compliance testing for agencies
  • Improved service delivery quality and accuracy.

GST Compliance Sampling Policy

  • A new GST Compliance Sampling Policy has been implemented, effective from 1 July 2018, that introduces a standardised risk-based methodology. 
  • In developing this Policy, a risk assessment was performed based on the complexity of business processes and taxation code usage.
  • Sample sizes were determined using a combination of the risk assessment outcomes and agency transaction volumes, with reference to the principles in Audit Standard 530: Audit Sampling.
  • Feedback was sought from the ATO, Ernst and Young, Internal Audit and senior agency personnel on the Policy and sampling methodology.

The new Policy facilitates risk-based sampling (i.e. the higher the risk for a particular category of transactions the greater the relative sample size) with the regular reporting of outcomes to agencies. Based on analysis of the sampling results, Shared Services SA will review opportunities to improve efficiency and identify specific areas for training of agency and internal staff.  This approach should facilitate continuous process improvement and increase compliance over time.

Fringe Benefits Tax Review
  • Shared Services SA is currently undertaking a review of FBT policies and procedures to standardise how each benefit is managed.
  • Focus areas include the management of motor vehicle log books, car parking and declarations.

Consultation will occur with agencies shortly regarding the outcomes of the review and the proposed standard policies and procedures.