Chair of the Black Economy Taskforce, Michael Andrew, talks with CPA Australia following the release of the taskforce’s interim report which is now out for comment. The black economy refers to people who operate entirely outside the tax and regulatory system or who are known to the authorities but do not correctly report their tax obligations. Participation in the black economy penalises honest taxpayers, undermines the integrity of Australia's tax and welfare systems and creates an uneven playing field for the majority of small businesses doing the right thing. As the economy changes in nature towards being a more services based economy, the Taskforce is reporting seeing an acceleration in the Black Economy with significant ramifications for the broader tax system.
