Australians call out tax dodgers in record numbers

The ATO has hit a major milestone of over 300,000 tip-offs from the community about tax avoidance and other dishonest behaviours since 1 July 2019.  In the 2024/25 financial year alone, almost 50,000 red flags were raised by members of the community who spotted something suspicious.

Most of the tip-offs received related to shadow economy activity, coming from customers, employees, other businesses, and even family and friends.

This year, Australians reported businesses and individuals who:

• did not declare their income;

• demanded or paid for work in cash to avoid tax;

• lived lifestyles that did not match their known income; and

• failed to report all sales.

The top three industries seeing a surge in 'red flags' this financial year are:

• building and construction;

• cafes and restaurants; and

• hairdressing and beauty services.

If you have any questions in relation to the matters discussed in this blog, please get in touch with us.