Cybercrime is a constantly evolving area of offending, which can often involve individuals who would not otherwise offend and who have no prior criminal history, but who are technologically savvy. Increasingly, cyber crime offenders are younger people who are technologically savvy and who learn how to offend over the internet. When most of us think of cyber fraud, we think of credit card fraud or phishing from bank accounts. However, in recent times, we have observed an emerging new area of crime targeting individuals MyGov access. This article gives an overview of this new area of criminal offending so that you can better protect yourself, in case it happens to you.
Protecting Your MyGov Account
Almost every Australian, whether they like it or not, will have a MyGov account. It is the centralised program through which we access our Centrelink benefits, Child Care Rebates, Medicare and Tax accounts. Depending on your particular circumstances, you may have a number of different services linked to your MyGov account, which also operates from an application on your phone. Due to an increase in mail theft, email interception and subsequent identity theft, Services Australia now only communicates with MyGov account holders via the MyGov application messaging system. Whereas before, you would receive a letter or email from Centrelink or Medicare, now all of these services are centralised through MyGov.
MyGov requires two factor authentication and a security application to access. However, once infiltrated, the account contains a wealth of personal information about you, which can be used to commit identity theft and crime without you being aware of it until you are contacted by the ATO or a bank seeking repayment of borrowed funds. Whilst banks are alert to identity theft and usually have systems in place so that those who have fallen victim to it are not adversely affected long term, frauds committed on government services are more complicated and difficult to unravel.
How Cyber Criminals Exploit MyGov Accounts
Access to MyGov can allow third parties to commit fraud on the Taxation Office and money laundering. Our office has represented at least one individual, whose MyGov details were accessed by a third party. Once that third party gained access to our client’s MyGov, the perpetrator filed a tax return with the ATO purporting to be income earned by our client (notwithstanding that our client had not worked for the last 12 months). The manner in which the tax return was lodged led the ATO to believe that our client was entitled to a refund of tax paid on their income. However, the perpetrator had changed the bank details in MyGov so that the money was not paid to our client, rather it was illegally obtained by the perpetrator. The fact that the tax return was not paid to our client also meant that they had no idea that a tax return had been filed on their behalf.
Subsequently, a further tax return was lodged which created a tax debt owed by our client in the amount of tens of thousands of dollars. When it was not paid by the due date, the ATO contacted our client via telephone to advise of the debt, which was the first time that our client became aware of the debt. When they tried to access their MyGov, the login details had been changed and it took advocacy from our office, the assistance of an accountant and contact with the Australian Federal Police to rectify the situation. Having a significant tax debt hanging over your head can have considerable implications for your credit rating, ability to obtain finance and, in some cases, your ability to earn an income if the tax office starts garnishing your wages. In extreme cases, the Tax Office can also restrict you from leaving the country until the outstanding amount is paid.
MyGov Exploitation in Family Violence Cases
Unfortunately, in recent times MyGov access has also allowed family violence perpetrators to take advantage of and economically abuse their spouse or ex-spouse. Because of the information contained therein, perpetrators can take out loans in the name of their spouse, set up credit card facilities and commit tax and superannuation offences. Unlike other jurisdictions, in Australia the ATO does not have provision to have a tax debt, incurred through family violence (without the knowledge or consent of the victim), to be assigned to the perpetrator or written off. Accordingly, the victim can be left to either pay the return (noting that they are unlikely to have the funds to do so), enter into a payment plan (which would require them to have income) or defer the tax debt (which will still be left hanging over the person’s head).
Steps to Take If Your MyGov Account Has Been Compromised
If you are concerned that your MyGov has been accessed by a third party, there are things that you can do to protect yourself:
- Change the login details and credentials;
- Ensure that two factor authentication is enabled to your phone only;
- Contact Services Australia to advise them of the potential access; and
- If you are the victim of family violence, 1800 Respect has the resources to assist you to discreetly protect yourself from economic abuse.
Get in Touch With Galbally Parker Cyber Crime Lawyers
Of course, our office is also here to assist you and has the experience in these kinds of matters to navigate a successful resolution which will secure your financial health and ensure that you do not fall prey to such offending in the future.
