Chapter 01 - Access and Information Gathering

1.5. Liability for cost of access to documents

1.5.1 Permitting taxation officers full and free access to documents and providing reasonable facilities and assistance will usually involve a cost to the custodian. You should seek to minimise this cost. If documents are available from more than one source, you should consider who is the most appropriate person to bear the cost. In most cases, this will be the taxpayer.

Example For the purposes of the SGAA, Helga, a tax officer, has been granted access to an employer's records under section 76 of that Act. Helga has arranged with the employer to use the photocopier when it is not needed by the employer's staff, and brings her own supply of paper. Main point Tax officers should make every effort to minimise the costs and inconvenience of compliance.

1.5.2 You should only make general enquiries about a category of persons if there is a reasonable prospect that there will be a substantial compliance impact relative to cost. On occasions, sampling may be required to determine the benefits of obtaining bulk data. You should refer to any verification procedures and statistical sampling guidelines before making requests of large numbers of taxpayers.

1.5.3 You should give the occupier of a place sought to be accessed the opportunity to discuss the scope of the access, the timeframe for the response, and any difficulties likely to be encountered.

1.5.4 The Commissioner's right under the access provisions to 'full and free access' is clearly inconsistent with a liability to pay a fee or charge in exercising that right. You should not agree to the payment of a fee as a condition of the use of your statutory powers.

1.5.5 A deduction is allowable under section 25.5 of the ITAA 1997 for costs incurred by a taxpayer in complying with a request for information that the taxpayer holds concerning their own income tax affairs or those of another person or entity. This is a further indication that any costs of complying with an access request should not be reimbursed.