Taxman starts his timer on late lodgements

Money can’t buy you love nor, according to the tax office, can it buy you time – at least when it comes to lodging your tax return.

High-income individuals in prominent professions who return their tax forms late will face greater scrutiny from the tax office and be accountable for late lodgement penalties and interest fees.

The tax office is looking specifically at the tax affairs of public executives earning more than $1 million who have outstanding tax returns.

Judges, solicitors, professional athletes and high-ranking public servants are among those with high tax liabilities targeted by the tax office.

The tax office checks returns with data from financial institutions, property sales and the securities exchange, and will be investigating executives’ employee share schemes.

Deadline for taxpayers to lodge is 31 October. Late returns that result in a tax bill risk being slugged with penalties of $110 for every 28 days, up to a maximum of $550.