A.10.1 This appendix provides the ATO's chronology of the following errors:
- Notice of Assessment (NOA) issuing to clients advising to refer to Statement of Account (SOA), SOA is not attached (problem number 11 in Appendix 11).
- Nil taxable income on NOA — this covers the issue where NOAs generated on 9 March 2010 had a zero taxable income amount, even though the account details were correct in the Integrated Core Processing (ICP) system and all other assessment details were correct on the NOA (problem number 12 in Appendix 11).
- NOA/SOA Account issuing without cheques attached. This covers the situation where the NOA indicated payment had been made to a financial Institution as a direct credit, but the attached SOA indicated payment was by cheque, but no cheque was attached to the SOA (problem number 10 in Appendix 11).
A.10.2 The following chronologies are quoted from ATO correspondence to the IGT.
The following information provides the chronology of unanticipated delays including dates, key steps and external impacts.
Notice of Assessment (NOA) issuing to clients advising to refer to Statement of Account (SOA), SOA is not attached.
- The client has received an NOA, referring to monies on their associated SOA. The SOA isn't attached, cheque clients have no cheque, EFT clients have the money in their bank account
- The client account is still intact — no financial integrity issues have been found, the only issue is that the client didn't receive the money (which is a significant issue)
- Subsequent SOA's that were sent will have been handled correctly — they will have included all transactions (including those intended for this SOA), and if appropriate will have included the cheque/EFT details.
- Numbers impacted — approximately 140,000
12 April 2010
- Issue identified (08 April) and analysis is the root cause linked to solution applied to INFRA 1175974 (to fully update GIC before issuing a refund) combined with the fix to reduce the volume of monthly statements sent to community
- Resolution involves data fix then reprocessing SOA
14 April 2010
- Accounting batches processing put on hold pending resolution of issue
- Planned to resend statements to printer (14 April)
15 April 2010
- Outbound processes commenced and completed
- Confirmed sample pdf's were okay
- Transmitted 140,000 print files to Salmat
- Expected printing to take place 16 April or over weekend
16 April 2010
- Confirmed final file received by Salmat at 7.30pm 15 April
- 60,000 SOA's lodged by Salmat with Australia Post by 6pm in 3 states (NSW, QLD & VIC)
19 April 2010
- Balance of 80,000 SOA's lodged with Australia Post between 11.30am and 6pm
Nil taxable income on Notice Of Assessment (NOA) — this covers the issue where NOA's generated on 09 March 2010 had a zero taxable income amount, even though the account details were correct in Integrated Core Processing (ICP) system and all other assessment details were correct on the NOA.
09 March 2010
- Detected an issue where all NOAs were showing a zero taxable income. This resulted from the fix to ensure that where the taxable income is a negative value, the amount of taxable income on the return is zero rather than the negative value.
10 March 2010
- The root cause of the problem was identified and the issue contained to forms that posted to ICP between Wednesday 03 March when the NoA generate batch processed and the time the fix was deployed (2am, 05 March). All NOA's before and after this period are unaffected by the issue.
- Identified two actions which took place:
- All work impacted was cancelled in Outbound (including physical output at Salmat) — this was achieved by destroying the current output
- Data fix to populate the new 'display taxable income field' with the correct value and regenerate the outbound messages
15 March 2010
- Data fix built within ICP and underwent final review / test closure on Monday 15 March pm. The intent was to execute the fix on 100 impacted NOA's in the first instance, verify the output and then proceed with the remaining impacted files. Both executions were scheduled for evening of Monday 15 March with the intent of producing a file for SALMAT to print Tuesday 16 March.
17 March 2010
- Data fix built, tested, and executed on the impacted correspondence (approximately 200K impacted correspondence were generated) in the outbound database. Verification of the initial 58 (originally estimated to be 100, but 58 cases satisfied the criteria) was completed and fix proven. The original intent was to complete the fix / generation by late Tuesday 16 March — however some delays were encountered in regard to overnight activities. The revised estimate to complete the data fix and begin print file generation was estimated to be approximately 24hours. Anticipated delivery of the corrected file to SALMAT for printing Thursday 18 March (afternoon).
- All posted forms with a NOA pending/approved status (review items, suppressions, future credits) undertook the same data fix. Accounting review also suspended until the data fix completed.
19 March 2010
- Generated print files (post-scripts) sent to SALMAT for printing (99K of the 290K impacted correspondence)
- Sample of the post-script file sent to business to verify
- In parallel, files were packaged up and sent to SALMAT so that printing could commence once verification of corrected data was confirmed.
22 March 2010
- Generated remaining print files (post-scripts) sent to Salmat — approximately 190K (total is approximately 290K)
- Recommenced generation of print files
- Approximately 245K of the approximate 290K originally held correspondence (both NOA and SOA) related to the Nil taxable income issue were generated into print files and sent to SALMAT for printing and posting.
- Upon further review of the print files, an issue was identified where some NOAs were not updated with correct taxable income value. These files were stopped before correspondence was produced. Approximately 45K remained with the fix team to make updates and reprocess through outbound (Tuesday 23 March PM) for sending to SALMAT/posting (Wednesday 24 March AM).
24 March 2010
- Remediation activities finalised on the remaining 45K impacted NOA.
- Investigation found that approximately 11K had no issue and could be released, 38K had to be data fixed in the same manner as the impacted correspondence above.
- The 38K impacted NOAs were generated as print files on Monday 29 March.
Notice of Assessmem/Statement of Account issuing without cheques attached. This covers situation where the Notice of Assessment indicated payment had been made to a financial Institution as a direct credit, but the attached Statement of Account indicated payment was by cheque, but no cheque was attached to Statement of Account.
07 April 2010
- NoA advises that refund sent to clients nominated financial institution, but no FIA details on file. SOA issues with no cheque but advises refund cheque was sent.
- Increase of calls to CS&S, approximately 17,000 clients affected. Plan to quarantine any further cases before fix is deployed
12 April 2010
- Stop to placed against affected cheques to mitigate fraud risk
- Remediation — cancel the SoAs and reset the account with the credit so that the refund is re-triggered. 16K of 17K affected items should be delivered to Salmat tomorrow (8 April)
- Fix has been deployed and is currently being validated
14 April 2010
- 16,867 of 17,906 affected items have been confirmed as delivered to Salmat.
16 April 2010
- Permanent fix deployed and undergoes validation
21 April 2010
- Further 559 affected statements confirmed as delivered to Salmat
- Balance of 480 confirmed as pending refunder offset or has triggered a review item
ATO Change Program - income tax release