Digital service provider Architecture Reference Group (DARG) – 14 November 2023

Original Published Date
Status
Current
Tax Category
Payroll
Tax preparation
Business accounting
Superannuation
Investment bodies
Resource Type
Consultative groups
Description

The DSP Architecture Reference Group (DARG) meeting was be held in Moonee Ponds on 14 November 2023.

Participation is available to those Digital service providers listed as DARG members for the 2023 year.

Key outcomes

Environmental Scan and current operating environment and Reflections from the Strategic Working Group

The group received an overview of the recent Strategic Working Group (SWG) session. The discussion focused on the implementation of the Digital Services Gateway (DSG), which supports the 'Tax 3.0' vision through an outside-in design approach. Key challenges include legislative timeline uncertainties and the need for an API-first design, with a suggestion for DSPs to collaborate for more impactful outcomes.

Delivery insight and future program

Members received an overview of the high-level roadmap, highlighting the EVTE code drop for rollovers in November 2023, the Modernisation of Trust Schedule, and the Activity Statement resolutions in January 2024.

Successful deployments of Payevent and On-Demand Reports were noted, along with scheduled updates for conformance suite and production plans for AS2023, FBT, and other services.

Ongoing work will focus on temporary full expensing, loss carry back, and the Digital Games Tax Offset. Future work includes the incorporation of military super changes, new nudge messages for the IITR profile service, and occupational code updates.

Data minimisation and retention

Members received an update on the data retention and minimisation initiative, providing guidance for DSPs on obligations and best practices.

The draft guidance paper, to be finalised by year-end, emphasises legislative expectations and data portability, with ongoing discussions on broader industry implications.

Overview of Norway Tax Administration (NTA)

Members received an overview of Norway's progressive tax administration strategies, emphasising data quality and trust to achieve broader societal benefits. The NTA aligns with the ‘Tax 3.0’ initiative, focusing on simplifying processes and enhancing service efficiency by sharing data across sectors.

eInvoicing, Security and data standardisation

Members received an update on invoice fraud in the Australian economy and the need for heightened awareness and proactive measures, with eInvoicing playing a key role in mitigating risks. The adoption of the Peppol standard faces challenges, necessitating best practice guidance and collaboration with government agencies.

ABS implementation of ANZSCO coder

Members received comprehensive details on the Australian Bureau of Statistics (ABS) Whole of Australian Government (WoAG) ANZSCO coder implementation project. The project will update the ANZSCO classification and deliver an API-driven, machine learning-based coding service for government and industry use.

Resource design considerations for prefill

Members received insights into the considerations for resource design in the prefill discussions, highlighting the need for collaboration with DSPs in co-designing a solution and favouring a resource-based approach over a heavyweight one. Members were invited to provide feedback on these models.

SBR1 decommissioning

The strategy for decommissioning SBR1 was presented, with obsolescence and inefficiency highlighted as the leading cause for this decision. Active services on SBR1 are being migrated, with the ATO exploring alternatives to the Payment Summary service. Options include XBRL migration to SBR2 or adopting a modern JSON format with DSG, each presenting unique challenges.

Service Launch

Members were presented with a strategic shift in service launch details, which includes plans for monitoring dashboards to track key metrics and trends, a simplified process for providing monitoring information using Apigee, and upcoming detailed sessions for further insights.

Proposal for: New Digital Service – DSP Tax Rates

Members received a comprehensive overview of a member proposed API service for DSP tax rates, which aims to digitise the retrieval of tax coefficients, rates, and thresholds, reducing manual transaction errors and saving time. Key considerations include legal implications and establishing a clear ownership and assurance model for the tax data.

Future direction of technology

Members were invited to have an open discussion on other business.

Discussion topics included:

  • Balancing TLS security upgrades with potential client impacts 
  • The need for future direction of technology in relation to ‘Tax 3.0’
  • The significance of the DSG as a fundamental block for ‘Tax 3.0’ 
  • API uptake and the importance of tax practitioners and industry bodies in shaping and its development.

Key outcomes and presentation materials are available in DSP Hub.

If you have any questions, contact the secretariat by email at DPO@ato.gov.au or lodge a ticket via Online services for DSPs.

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