Case Study – GST Refund

The complainant raised concerns regarding the ATO’s decision to retain his GST refund as he had multiple outstanding Business Activity Statement lodgements. The complainant explained that he was experiencing financial hardship and required the funds to pay his tax agent to meet his lodgement obligations. The complainant further explained that he was going to be evicted from his home and also required the funds for bond and rent in advance.

The IGTO commenced an investigation and identified that the ATO has the discretion to release a refund under serious financial hardship or significant impact to a business’s viability. The IGTO requested the ATO to consider releasing the refund based on the complainant’s circumstances and facilitated the provision of further information. The ATO agreed to release the refund of approximately $17,000.