INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision F - Substantiation of certain expenses of years of income up to and including 1993-94  

SECTION 82KZBA   NO SUBSTANTIATION REQUIRED FOR ELIGIBLE EXPENSES RELATING TO ELIGIBLE TRANSPORT PAYMENTS IN CERTAIN CIRCUMSTANCES  

82KZBA(1)   [Exclusion from substantiation requirements]  

Where:

(a) one or more eligible transport payments are paid to a taxpayer in a year of income; and

(b) the total of the eligible expenses in relation to the eligible transport payment or payments incurred by the taxpayer during any year of income and claimed by the taxpayer as deductions in respect of any year of income does not exceed the amount of the eligible transport payment, or the total of the amounts of the eligible transport payments, as the case may be;

then, unless the taxpayer elects that this section not apply in relation to the eligible transport payment or eligible transport payments, the following provisions have effect:

(c) subject to subparagraph (e)(iii), the substantiation sections do not apply, and shall be deemed never to have applied, in relation to the taxpayer in relation to any of those eligible expenses;

(d) those eligible expenses shall not be treated as relevant expenses for the purposes of section 82KZB ;

(e) if those eligible expenses consist of, or include, car expenses, or parts of car expenses, incurred in a year of income that relate to a car:

(i) nothing in this section prevents the taxpayer making an election that section 82KX apply in relation to the car in relation to the year of income;

(ii) the taxpayer is not entitled to elect that subsection 82KW(2) or (3) apply in relation to the car in relation to the year of income;

(iii) if:

(A) the taxpayer does not elect that section 82KX apply in relation to the car in relation to the year of income; and

(B) a part (in this paragraph called the eligible expense part ) of a car expense incurred by the taxpayer in the year of income relating to the car is one of those eligible expenses;

the amount of a deduction allowable under this Act to the taxpayer in respect of the car expense is the sum of:

(C) if, apart from this paragraph, section 82KUD would be applied for the purpose of determining the amount of a deduction allowable under this Act in respect of so much of that car expense as is not an eligible expense - the amount of the deduction that would have been calculated under section 82KUD if that section had applied to the whole of the car expense; and

(D) the amount of the deduction that, apart from this Subdivision, would have been allowable under this Act to the taxpayer in respect of the eligible expense part of that car expense; and

(iv) for the purposes of this Subdivision (including section 82KUD as applied by subparagraph (iii) of this paragraph), the number of kilometres travelled by the car during the year of income in the course of travel to which the eligible transport payment or eligible transport payments relate shall not be counted as travel by the car in the course of producing assessable income of the taxpayer.

82KZBA(2)   [Assumption at time of assessment of later circumstances]  

Where:

(a) a taxpayer has incurred a transport expense during a year of income; and

(b) at the time of making an assessment in respect of income of the person of the year of income, the Commissioner is of the opinion that, at a later time, circumstances will exist because of which subsection (1) will apply in relation to the whole or a part of the transport expense;

the Commissioner may, in making the assessment, apply this Act as if those circumstances existed at the time of making the assessment.

82KZBA(3)   [Amendment of assessment]  

Where this Act has, because of subsection (2), been applied on the basis that a circumstance that did not exist at the time of making the assessment would exist at a later time and the Commissioner, after making the assessment, becomes satisfied that the circumstances will not exist, then, notwithstanding section 170 , the Commissioner may amend the assessment at any time for the purposes of ensuring that this Act shall be taken always to have applied on the basis that that circumstance did not exist.