Test case litigation program

Foreword

Sometimes disagreements arise between taxpayers and the ATO about how laws apply. When this happens, taxpayers have rights to appeal decisions that are based on the ATO view of the law to the Administrative Appeals Tribunal and the courts. In some of these cases there may be uncertainty about how the law operates.

The test case litigation program was established in 1995 to provide financial assistance to taxpayers who are litigating matters that will clarify the tax and super laws we administer. By developing legal precedent we seek to ensure that we are providing the community with clear principles about how to apply the law.

To show we are committed to clarifying the law and willing to work with the community, we indentify cases that meet the criteria ourselves. We also receive applications for funding from taxpayers and associations. These applications are considered by a panel that includes senior ATO officers and external representatives such as former judges, accountants and solicitors.

This guide provides tax professionals with information about how the test case litigation program operates and how their clients can apply as well as providing answers to some common questions about the program.

Andrew England

Chief Tax Counsel

Chair of the Test Case Litigation Panel