EOFY Tax Time 2026: How Aussie SMBs Can Use AI Safely (And Avoid ATO Scams)
Tax time is here again, and the Australian Taxation Office (ATO) is warning business owners about a spike in tax-time scams. At the same time, more Australians are turning to AI chatbots for tax advice—a trend that professional accountants say comes with real risks. Here is how to use AI smartly this EOFY without falling into a compliance or scam trap.
The EOFY Scam Wave Is Real
Scamwatch and the ATO have both flagged a significant increase in phishing, fake phone calls, and fraudulent “tax refund” emails during June and July. The Australian Communications and Media Authority (ACMA) recently demanded 12 telcos improve their scam-blocking systems after new regulations took effect—and still the calls get through.
Red flags to watch:
- ATO does not ask for payment via gift cards or cryptocurrency.
- ATO does not request login details or passwords by phone, email, or SMS.
- ATO will not send links to “refund” you via your myGov account.
What to do if you are unsure:
- Call the ATO directly on 13 28 69.
- Log into myGov at ato.gov.au (never via an email link).
- Forward suspicious SMS to 0429 999 888 and emails to scams@ato.gov.au.
Can AI Actually Help With Tax Prep?
Yes, but with limits. AI tools can speed up the tedious parts of tax prep—categorising expenses, summarising receipts, and calculating deductions. What they cannot do is replace a registered tax agent when it comes to compliance, complex structures, or audit defence.
What AI does well:
- Expense categorisation and receipt scanning
- Generating draft summaries for your accountant
- Reminders about deduction deadlines and record-keeping
- Answering general “what can I claim?” questions
What AI does not do:
- Understand your specific tax position or family/ trust/ super structure
- Keep you safe from audit penalties if the advice is wrong
- Guarantee ATO compliance (AI advice is not protected advice)
Professional accountants in Australia have warned that chatbot tax advice can be out of date, jurisdiction-specific, or plain wrong. Use AI as a research and organisation assistant—treat it like a smart intern, not a tax professional.
EOFY Checklist: AI-Assisted, Not AI-Dependent
1. Gather all income and expense records – Keep everything for five years. 2. Separate personal and business expenses – AI tools can help categorise, but you need to review. 3. Claim home office costs – Use the fixed-rate method ($0.67/hour for 2024–25) and keep a four-week diary. 4. Review asset purchases – Instant asset write-off threshold is $20,000 for 2024–25. 5. Superannuation contributions – Consider tax-deductible personal contributions before June 30. 6. Prepay expenses – Some business expenses can be brought forward into this financial year. 7. Engage a registered tax agent – Especially if your structure is complex or you want audit insurance.
The Bottom Line for 2026
AI can save hours of bookkeeping and research. It cannot save you from an ATO penalty if the output is wrong. Treat AI as your first draft, not your final submission. And stay sharp on scams—if it looks too good to be true (a “guaranteed” huge refund, for example), it almost certainly is.
Key takeaway: Use AI to organise, summarise, and draft. Use a registered tax agent to file, advise, and defend.
---
Published by Attest. For more resources on AI tools and business operations, visit getattest.com.au.