Hospitality, construction & beauty – biggest culprits not to pay tax or super

MORE than 52,000 tip-offs were made to the Australian Taxation Office (ATO) during the past financial year, with community members increasingly speaking up about businesses and individuals they believe are doing the wrong thing.

Figures released show the ATO received around 1,000 tip-offs every week during the 2025–26 financial year, with people alerting the ATO to tax evasion, cash-in-hand payments and employers failing to pay workers their correct superannuation.

While the ATO has highlighted recent action against Melbourne cafés, restaurants and fast-food outlets, the message from the ATO applies just the same to businesses across the Sunshine Coast, with the hospitality, construction and beauty industries garnering the most activity from tip-offs.

ATO Assistant Commissioner Tony Goding said community tip-offs were an important source of intelligence and helped protect businesses that were doing the right thing.

“Aussies know when something doesn’t seem right, and they’re increasingly calling it out when they see someone trying to gain an unfair advantage by operating in the shadows.

“Much of our most valuable intelligence comes directly from community tip-offs. Often, it’s a worker, customer or competitor who recognises something that doesn’t seem right.”

Individuals and businesses who do not pay tax or super are not only breaking the law; they also undermine those who are playing by the rules, with the ATO stating that the hospitality industry accounted for more than 2500 tip-offs nationally.

Concerns included income not being declared, cash-in-hand work being used to avoid tax and super obligations, and employees not receiving their correct entitlements.

The ATO is quick to state that these concerns are seen in both metro and regional areas, and people are encouraged to speak up if they see something that doesn’t add up and to not ignore their concerns.

In Melbourne, information from tip-offs helped trigger Operation Tonberry, with ATO officers conducting more than 25 surprise visits to hospitality businesses.

“The message is simple: if you’re deliberately avoiding your tax or super obligations, there’s a good chance someone will notice,” Mr Goding said.

“Whether it’s an employee, customer, supplier, former partner, competitor or member of the public, there are eyes everywhere.”

The ATO said about 83 per cent of tip-offs received in 2025–26 were assessed as suitable for further review. Information is cross-checked against ATO data and other intelligence before compliance action is considered.

 

Since July 2019, more than 360,000 tip-offs have been received, and Mr Goding said that those operating in the shadows should know that they can be found via a tip-off.

 

“It only takes a few minutes to make a tip-off, and you can do so anonymously.”

 

Do you have something to report?

If you suspect someone is deliberately avoiding their tax or super obligations, you can report it to the ATO anonymously at www.ato.gov.au/tipoff or by calling 1800 060 062.

 

Community tip-offs are one of the ATO’s most valuable sources of intelligence. Every tip-off is assessed, cross-checked against available information and, where appropriate, used to support compliance action.