The Australian Taxation Office (ATO) has moved to reassure its investigations staff after a Queensland Supreme Court ruling criticized the agency's handling of a tax fraud prosecution.
The court's decision in The King vs Julie Clarke case found that an ATO officer had engaged in misconduct while gathering evidence, leading to the prosecution being stayed.
Justice Paul Smith handed down the decision on October 3, citing misconduct by an ATO officer as the reason for staying the prosecution.
The case, which dates back to 2019, involved allegations of inflated research costs against a therapeutics entrepreneur.
Author's summary: ATO faces criticism over misconduct in tax fraud prosecution.