ATO and administration
Taxpayers' charter
The Taxpayers' charter is a statement of the standards of service and treatment that taxpayers can expect from the Australian Taxation Office, and the responsibilities taxpayers have in return.
The Taxpayers' charter sets out in plain terms how the Australian Taxation Office commits to treating the people and businesses it deals with. It describes the rights taxpayers can expect, such as being treated fairly and reasonably, being given respect, receiving help and clear information, and having privacy and confidentiality protected. It also describes what taxpayers are expected to do, including being honest, keeping proper records and meeting their obligations on time.
The charter is not a separate piece of tax law that changes how much tax you pay. It works more like a published service promise that sits alongside the legislation. Its main value is as a reference point: if you feel an interaction with the ATO fell short, you can compare what happened with the standards the charter describes and use that when you raise a concern or make a complaint.
The commitments are usually grouped around themes. Taxpayers can expect the ATO to treat them as honest unless there is evidence otherwise, to offer professional service, to be accountable, to explain decisions, and to help people understand and meet their obligations. Taxpayers, in turn, are expected to engage with the system in good faith, provide accurate information and seek advice when they are unsure rather than guess.
For small business owners dealing with GST and the BAS process, the charter is relevant in everyday situations. If you are subject to an audit, a review of a GST refund, or a debt collection action, the charter is part of the framework that explains how the ATO should approach you. It also supports your right to ask for an explanation of a decision, to seek a review of it, and to be told how to object if you disagree.
A common misunderstanding is that the charter gives you a legal right to cancel a penalty or a debt because of a breach of service standards. It does not work that way. The charter is not a mechanism for overturning an assessment. Disputes about the amount of tax are resolved through the objection and review process, and complaints about service are handled through the ATO's complaints channels and, if still unresolved, the independent oversight bodies.
It is also worth remembering the responsibility side. Honest mistakes are treated differently from deliberate avoidance, and the ATO will generally respond more favourably if you come forward early, explain what happened and correct errors voluntarily. Keeping good records, lodging on time and asking questions early are practical ways of meeting your side of the charter. This is general information only, so check the current charter text and your own circumstances with the ATO or a registered tax professional.
Worked example
A café owner receives a letter asking for supporting documents for the GST credits claimed in her last quarter. She asks the ATO officer to explain why her claim was selected, confirms in writing what documents are needed and by when, and supplies copies of her tax invoices totalling $4,620 of GST credits. When she disagrees with one adjustment, she asks how to lodge an objection, which is the kind of explanation the charter promises.
Practical tips
- Use the charter as a guide when raising a concern, but pair it with specific facts such as dates, names and reference numbers.
- Remember the charter does not change what you owe. If you disagree with an amount, use the objection process within the time limits.
- Meeting your own responsibilities early, such as lodging on time and keeping records, puts you in the strongest position.