3.1 The ATO has implemented or made significant progress with the majority (38 of 41) of the agreed recommendations made by the IGT in reviews completed between June 2006 and October 2008 and, in doing so, has made significant improvements to tax administration. A few agreed recommendations have not been implemented, but all have been progressed by the ATO to some extent.

3.2 Other matters observed during the review included a review of the monitoring and reporting of the implementation of recommendations to senior ATO management. Monitoring of the progress of recommendations from all external scrutineers of the ATO is undertaken quarterly by the ATO's Audit Committee based on reports prepared by the ATO's Internal Audit group from input by business lines (BSL). The Internal Audit group updates the ATO's Audit Committee as to the status of implementation. On the evidence of reports sampled, the IGT found these reports to contain some inaccuracy and a need for further detail. It is hoped that suggestions arising from an internal ATO review, which is currently before the Audit Committee, will increase both the level and accuracy of information provided.

3.3 The second ancillary matter considered by the IGT was how well the ATO has communicated the implementation of the recommendations to taxpayers. As discussed in chapter 10 of this report, the ATO has been quite proactive in undertaking appropriate forms of communication. These efforts must continue as further developments arise in connection with the implementation of recommendations.

3.4 In summary, this follow up review has demonstrated that the ATO has responded to reviews conducted by the IGT. This is evidenced through the number of agreed recommendations (or parts thereof) that have been implemented as well as through the improvements in ATO administrative practices and approaches. Given the number of recommendations involved, this represents a positive outcome.