Government audit insurance

DD – that option covers your Owners Corporation’s (O/C) costs of professional services such as those provided by a accountant if it is audited by the ATO or some other Government Instrumentality.

There have been a few recent posts about the costs of Strata Insurance, and yours is an example of whether an O/C that’s covered by the “Principle of Mutuality”, where the ATO has ruled that no tax is payable because its only income comprises owners’ contributions to funds (admin and sinking) that are then controlled by it for the purpose of managing and maintaining the Plan, could reduce its Insurance Premium by opting-out of that and indeed any other optional cover/s that it simply doesn’t need.