Tax Office warned PwC chief Sayers to read the emails
The Tax Office first raised its concerns related to the conduct of PwC’s tax division with Luke Sayers on August 29, 2019, when second commissioner Jeremy Hirschhorn urged the firm’s then-CEO to “personally review the internal emails”.
Former PwC CEO Luke Sayers (left) and ATO second commissioner Jeremy Hirschhorn.
This was the first of three meetings between the two men detailed in a timeline of the ATO’s actions related to the PwC tax leaks scandal published late on Monday by the Senate.
The timeline provides new details of the years-long fight between the Tax Office and PwC executives over the actions of the firm’s tax division.
The Tax Practitioners Board ruled that a former partner in that division, Peter Collins, shared secret government information that was used by PwC personnel to advise clients on how to sidestep new tax laws.
The extent of the breach of confidentiality was revealed in May, when The Australian Financial Review reported on a cache of internal PwC documents showing dozens of partners and staff were involved the marketing Multinational Anti-Avoidance Law (MAAL) tax schemes based on information provided by Mr Collins.
The ATO timeline shows that at a second meeting, held on February 20, 2020, Mr Sayers discussed the upcoming election of PwC’s chief executive with Mr Hirschhorn, two weeks before the then head of the firm’s tax practice, Tom Seymour, was elected CEO of the firm.
During the meeting, Mr Hirschhorn advised Mr Sayers that it was neither the Tax Office’s role nor was it appropriate for the agency to comment on the firm’s election processes.
The timeline also states that Mr Hirschhorn told Mr Sayers that “the PwC board should ensure that it is fully abreast of the range of concerns the ATO
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