The Australian Competition and Consumer Commission has instituted Federal Court proceedings in Sydney against the principals of Accounting for GST alleging misleading and deceptive conduct in promoting GST Startup Assistance and GST information seminars to small business.
The ACCC received a number of complaints from small businesses in regional NSW alleging that Accounting for GST misrepresented its affiliation with the Australian Tax Office and the GST Startup Assistance Office. The complainants also alleged that Accounting for GST misled them as to the cost of their services. The ACCC is aware of the pressures on small businesses to get ready for the changes on 1 July.
To facilitate this process, the Government has provided businesses with $200 Startup Assistance Certificates. The ACCC is committed to ensuing that organisations that take advantage of businesses at this critical time, particularly in relation to the use of their $200 Certificates, are dealt with quickly and effectively under the law.
Accordingly, the ACCC is seeking declarations and injunctions:
1. that that the principals of Accounting for GST, their employees and agents discontinue making any misleading representations about: affiliation with the GST Startup Assistance Office or the Australian Taxation Office; the cost of its services; and when small businesses require an ABN.
2. that the principals of Accounting for GST offers refunds to all businesses which accepted its services and which believe they have been misled by the representations. 3. that the principals of Accounting for GST Accounting for GST develop and implement a trade practices compliance program in accordance with Australian Standard AS 3806-1998.
The ACCC is seeking a list of all persons and businesses to which Accounting for GST has supplied services. Business consumers who believe that they may been the victim of false or misleading claims by any organisation providing or purporting to provide GST Startup Assistance are encouraged to call the ACCC's Price Exploitation Hotline on 1300 302 502. MR 97/00 22 May 2000