Australia to establish taskforce to catch tax dodgers, organized crime

Australia's treasurer, Joe Hockey, announced on Tuesday a financial crime taskforce to fight tax dodgers and organized crime.

The Serious Financial Crime Taskforce will battle crime that poses a threat to Australia's security, financial markets, regulatory frameworks and tax revenue collection.

The federal government will provide 100 million U.S. dollars over four years for investigation and prosecutions that address white-collar crimes like superannuation and investment fraud, identity crime and tax evasion.

"It will also help ensure all taxpayers pay their fair share of tax," he said.

The announcement came a week ahead of Hockey handing down his second budget, and days after it was revealed 55 of Australia's highest earners paid no income tax for the 2012-13 financial year.

Last month, representatives from multinational companies such as Apple, Google and mining giant BHP fronted a Senate inquiry into tax avoidance after being accused of paying little or no tax on profits earned in Australia.

Hockey said the taskforce would aim to build on the work of Project Wickenby, which finishes this year and has so far raised more than 1.65 billion U.S. dollars in liabilities as well as increased tax collections from improved compliance behavior following interventions.

"It will enable the best practice and experience gained to be continued, and for agencies to extend their cooperative work across the broader serious financial crime risk," he said.

"Ongoing investigations and prosecutions have resulted in substantial sentences and strong deterrent messages in the sentencing judgements.

"To date 76 individuals have been charged with serious offences and there have been 44 criminal convictions," he said.

The new taskforce will include the Australian Taxation Office, Australian Crime Commission, Australian Federal Police, Attorney- General's Department, Australian Transaction Reports and Analysis Centre, Australian Securities and Investments Commission, Commonwealth Director of Public Prosecutions and Australian Customs and Border Protection Service.