The tax office says some Katherine businesses have "identified indicators of risk".

ATO officers are calling on Katherine as part of a nationwide crackdown on the black economy.

Up to 200 small businesses in Katherine, Batchelor, Bees Creek, Adelaide River and Pine Creek can expect a visit from the ATO.

Assistant Commissioner Peter Holt said the ATO is visiting businesses in these areas because they have identified indicators of risk

"We're particularly concerned about businesses in these locations who are not registered for pay as you go (PAYG) withholding or GST.

"Local visits provide us an opportunity to talk to business owners and help them get things right."

"Businesses who pay cash in hand, or fail to lodge income tax returns or business activity statements get an unfair advantage and make it harder for other businesses who are doing the right thing.

By detecting and addressing this behaviour, we're helping to ensure a level playing field for honest small businesses in the NT."

NT businesses who are not declaring income or underpaying workers are contributing to the black economy.

The Black Economy Taskforce estimates the black economy is costing the community as much as $50 billion.

Prior to the visits, local businesses and tax professionals are invited to attend a one-hour information session.

To register for an information session, visit ato.gov.au/protectinghonestbusiness

The ATO also has a hotline to allow small business operators to report others that may be doing the wrong thing.

Reports can be made anonymously. The hotline number is 1800 060 062. Reports can also be made online at ato.gov.au/reportaconcern

An information session will be held in Katherine on Wednesday, May 29 from 9.30am-10.30am or 5.30pm-6.30pm at the Katherine Civic Centre.

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