The Tax Ombudsman has set out her plans for the year ahead, confirming a series of systemic reviews that will shape how the public and the tax profession engage with the ATO. The refreshed 2025 to 26 work plan, released ahead of Christmas, draws on months of consultation and points to the issues Australians say cause the greatest strain in the system.
Tax Ombudsman Ruth Owen said the schedule reflects community priorities. “I want to thank our stakeholders for highlighting the tax issues impacting them the most. Our refreshed workplan reflects what people said we should investigate as a priority next year,” Ms Owen said.
Early preparations have begun for a review into how the ATO works with First Nations taxpayers. Ms Owen said the process will be shaped carefully. “We will be taking time to ensure we approach this review in a culturally appropriate way, to gain broad community input and insights from First Nations people, businesses and representative organisations.”
Another major focus is the ATO’s Online Services for Agents. Ms Owen said it had been raised repeatedly during a recent review of the registered agent phone line. “The ATO’s Online Services for Agents is a critical digital channel for registered tax agents to engage with the ATO. This was raised frequently in our recent review into the ATO’s registered agent phone line and service offer to agents and, with the ATO agreeing with our recommendations for improved digital channels and services, we will build on that momentum.”
Debt collection remains the area that generates the most complaints to the Ombudsman. A sharp rise in Director Penalty Notices has prompted a fresh look at how the ATO issues and manages them. “The ATO’s approach to the collection of debt remains the highest volume of complaints we receive. One instrument used in debt collection is Director Penalty Notices (DPNs), which increased by 136% in the 2024 to 25 financial year,” Ms Owen said. She noted the personal impact these notices can have. “The ATO uses DPNs to administer and collect certain company debts from directors personally. However, they can have significant impacts on those individuals if they are not aware of their liabilities due to miscommunication, or factors such as personal illness or where the directorships were entered under coercion.”
Ms Owen said the office aims to complete four systemic reviews each year, with the work plan updated twice annually to reflect shifting social and policy pressures. “Our refreshed workplan outlines the status of current reviews, what’s coming up next and necessary changes made to prioritise emerging reviews and to align or avoid duplication with other Government reviews or bodies of work,” she said.
The office has already begun its review of General Interest Charge remissions and an own motion examination into allegations of maladministration linked to a long running dispute. “Since we released the work plan in June, we’ve commenced the review into the ATO’s approach to General Interest Charge (GIC) remissions and an own-motion review examining allegations of maladministration by the ATO in its management of a long-running complex complaint. Both reviews are expected to be finalised in early 2026.”
Some planned topics have been deferred to make room for emerging issues. Ms Owen said choices had to be made. “We know there are some topics missing from the list that people have asked us to look into. As always with our consultations, we received feedback and suggestions for far more topics than time and resources would allow us to undertake.”
Two areas that attracted strong interest during the consultation were payday super readiness and family trust election administration. Ms Owen pointed to wider policy work already underway. “There are already cross Government reviews underway regarding readiness for payday super and, while we recognise family trust election concerns include administrative matters, they are largely about underlying policy issues. However, we will continue to engage with the profession and the ATO on the administrative aspects of both of these matters.”
Looking ahead, Ms Owen said the office will broaden how it responds to community concerns. “In 2026, we will introduce new ways to examine and address issues raised by the community and tax professionals, that may not fulfill the criteria for a full systemic review. We look forward to engaging broadly with our many stakeholders as we commence this body of work.”
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