Section 3: Outcomes
General government sector (GGS) agencies are required to plan, budget and report under an outcomes structure. GGS agencies produce outputs (departmental items) and also administer items on behalf of the Government (administered items).
This section summarises how the resources identified in Section 2 will be used to contribute to the outcome for the Inspector‑General of Taxation (IGT). Key performance measures and performance evaluation activities are specified for the outcome.
3.1 Summary of outcomes and contribution to outcomes
The relationship between activities of the IGT and its outcome is summarised in the following figure.
Figure 2: Contributions to outcomes
3.2 Outcome resources and performance information
3.2.1 Outcome 1 resourcing
The following table shows how the 2007-08 Budget appropriations translate to total resourcing for Outcome 1, including departmental appropriations and revenue from other sources.
Table 3.1: Total resources for Outcome 1
3.2.2 Measures affecting Outcome 1
The IGT does not have any 2007-08 Budget measures.
3.2.3 Contributions to achievement of Outcome 1
Administered activities
IGT does not administer any activities on behalf of the Australian Government.
Departmental outputs
The role of the IGT is to improve the administration of the tax laws for the benefit of all taxpayers.
This is achieved by reviewing the systems established by the Australian Taxation Office to administer the tax laws and the systems established by tax laws in relation to administrative matters.
The IGT’s two outputs derive from the statutory functions. These outputs involve, firstly, the identification of systemic issues for review and the prioritisation of the work programme and, secondly, the provision of independent advice to Government on the administration of the tax laws.
The scope of the work programme is determined by the identification and prioritisation of a systemic issue by the Inspector-General. However, the Inspector-General of Taxation Act 2003 also provides that the Minister may direct that a matter be included on the work programme, and that the Inspector-General considers requests to conduct reviews from:
- the Minister (separate from the direction provision); or
- the Commissioner of Taxation; or
- a resolution of either House, or both Houses, of the Parliament; or
- a resolution of a Committee of either House, or both Houses, of the Parliament.
Broad-based community involvement in the identification of issues and the opportunity for all stakeholders to provide submissions ensures that reviews undertaken are relevant and timely for all stakeholders. In view of this, the Inspector-General requires the flexibility to vary resourcing allocations so as to allow emerging and important systemic issues to be addressed in a manner that is timely and relevant to government.
The IGT has no power to direct the Commissioner of Taxation in the administration of the tax laws. The effectiveness with which the Inspector-General’s advice to Government contributes to the achievement of the outcome may be difficult to assess. In some instances, the provision of advice to Government may lead to legislative change to address an identified systemic issue. However, on other occasions the Commissioner of Taxation may independently address a systemic issue identified by the IGT either as a result of undertaking a review, or following the release of a Review Report by the Minister or the publication of an Issues Paper or Work Programme by the Inspector-General.
3.2.4 Performance information for Outcome 1
Performance information for individual outputs and output groups relating to the IGT are summarised in Table 3.2.
Table 3.2: Performance information for Outcome 1
3.2.5 Evaluations for Outcome 1
Internal, informal monitoring of the IGT’s performance and output is undertaken on a continuous basis.
Evaluation of actual levels of achievement will be shown in the IGT’s 2007-08 Annual Report.