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A wide view of Melbourne's CBD skyline seen from the Shrine of Remembrance precinct, with manicured green parklands, a tree-lined avenue, and a war memorial column in the foregroun
✓ 7NEWSMoney & Work

ATO targets 25 Melbourne hospitality businesses over unreported income

The Australian Tax Office raided 25 hospitality businesses in Melbourne's CBD. The raids followed community reports of unreported income.

The ATO made surprise visits to 25 hospitality businesses in Melbourne's CBD on Tuesday and Wednesday. The raids followed community reports of cash-in-hand payments, poor record-keeping, and missed superannuation payments.

Australia's shadow economy is worth more than $80 billion in untaxed activity. Cafes, restaurants and bars generated more than 2,500 reports to the ATO in the 2025-26 financial year.

ATO assistant commissioner Tony Goding said a busy venue with different record books tells a different story. Over two years, the ATO prosecuted more than 350 individuals and entities.

This resulted in more than $2.7 million in fines.

25
Businesses raided
80 billion dollars
Shadow economy size
2,500
Hospitality reports 2025-26
52,000
National tip-offs

Why it mattersHospitality workers, customers and honest competitors are reporting tax evasion. This forces the ATO to enforce the rules and level the playing field.

AustraliaMelbourne hospitality operators and workers face increased scrutiny as the ATO targets unreported income in the sector.

✓ Claims checked against the source and corrected before publish. checked 12 d ago

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