ATO and bank accounts

[Stealth4]

Will the ATO know how many bank accounts you have. Wouldn't that be an issue when you lodge tax return?

[Stealth4]

Wouldn't you be seen suspicious if the ATO does a check on your many many accounts?

[rsot]

Well...while it is not really illegal to have many bank accounts open...ideally, you would spread them out.

ATO would only do a check - in my opinion - if you have weird activities...

[Stealth4]

Well that is suspicious if they audit you and find out you have 50 bank accounts with 5 different banks

[Toolman89]

Well I assume if you ever get audited you just explain it to them and they'd say fair enough, can you provide documentation for each paypal account and which bank account it's linked to so we can account for all of them.

Would just be an annoyance.

[Stealth4]

Originally Posted by Toolman89

Well I assume if you ever get audited you just explain it to them and they'd say fair enough, can you provide documentation for each paypal account and which bank account it's linked to so we can account for all of them.

Would just be an annoyance.

That will show many paypal accounts all with different names all with different accounts. Money coming in your account under a different name. I be worried. This is not a good idea. I suppose we all run a very risky business which could get us in a lot of trouble

[Klemantina]

As long as you declare all your income accurately it shouldn't cause a problem. If you still afraid, talk to a lawyer.
As far as I know the ATO can check your income once in a lifetime so they will not bother if your not a multi millionaire. I'm keeping all the evidence for up to 7 years just in case.

[Toolman89]

Originally Posted by Stealth4

That will show many paypal accounts all with different names all with different accounts. Money coming in your account under a different name. I be worried. This is not a good idea. I suppose we all run a very risky business which could get us in a lot of trouble

as far as I know it's not illegal to use an alias with paypal, they're not a bank

[craigoaus]

My account told me they have a record of your bank accounts and interest received, it being income it is taxable if your total income is over a certain amount.

[Stealth4]

What if you earn $3 interest. How do you keep up

[craigoaus]

Years ago pre 2010 when I was a the accountants for my tax return, he asked me about 'all these bank accounts' before I even had a chance to mention them to him. He was aware of every scrape of interest. My bank gives me a statement at the end of the financial year showing how much interest I have earned on all accounts which makes it very easy to keep track of interest paid to me.

[GreenBean]

Originally Posted by rsot

Well...while it is not really illegal to have many bank accounts open...ideally, you would spread them out.

ATO would only do a check - in my opinion - if you have weird activities...

Preferable to not make comments on the ATO if you are only surmising, rsot.

Might be taken as fact, which it is not.

[Klemantina]

My mind was blown after seeing the 1860 most profitable companies list.
The ATO reveals the tax secrets of the rich list | afr.com

[Stealth4]

Originally Posted by Klemantina

My mind was blown after seeing the 1860 most profitable companies list.
The ATO reveals the tax secrets of the rich list | afr.com

LOL then they come after us earning few dollars here and there

[Lars]

Originally Posted by craigoaus

My account told me they have a record of your bank accounts and interest received, it being income it is taxable if your total income is over a certain amount.

I believe if you provide your TFN to the bank which is not mandatory