Guide to RTP Category C

RTP Category C questions

You need to consider each Category C question and disclose each Category C position in the way specified in this table.

When answering Category C questions, you will need to note that:

there are no materiality thresholds for Category C positions
unless otherwise specified, the questions refer to the arrangements and/or transactions taking place in the income year(s) covered by the streamlined assurance review.

You have to answer yes to an RTP Category C question if your arrangement is covered by the question, even if:

you do not consider a tax benefit arose from the arrangement
you do not consider that the arrangement is contrived or artificial
there is an observable third party market or long standing practice for this arrangement
the features of your arrangement are different to the features described in the examples provided in the relevant taxpayer alert. Disclosure will be required where the arrangement is a type of arrangement or variation of an arrangement described in that taxpayer alert.

Question 1

Did you claim a deduction under section 25-90 of the Income Tax Assessment Act 1997 (ITAA 1997) that was incurred in earning income that is non-assessable and non-exempt under both section 23AH of the Income Tax Assessment Act (ITAA 1936) and section 768-5 of the ITAA 1997?

Refer to Taxation Determination TD 2016/6 for further guidance.

Record 1 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 2

Did you fund a special dividend or a share buy-back through an equity raising event at a similar time, where the arrangement is a type of arrangement or variation of an arrangement described in Taxpayer Alert TA 2015/2?

Record 2 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 3

Have you entered into any arrangement(s) or variation of an arrangement described in Taxpayer Alert TA 2015/5 involving the use of offshore entities which source goods (procurement hubs)?

Record 3 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 4

Did you recognise (in the current or last four years) any internally generated intangible assets or revalue an intangible asset(s) for the purposes of your thin capitalisation calculations using an arrangement or variation of an arrangement described in Taxpayer Alert TA 2016/1?

Record 4 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 5

If you are a significant global entity as defined by section 960-555 of the ITAA 1997, have you entered into a restructure affecting any entities making supplies into Australia after 11 December 2015?

Refer to Law Companion Guideline LCG 2015/2 for further guidance.

Record 5 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 6

Have you entered into a transaction(s) involving related party foreign currency denominated finance with related party cross currency interest rate swaps using an arrangement or variation of an arrangement described in Taxpayer Alert TA 2016/3?

Record 6 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 7

Have you entered into any arrangement(s) or variation of an arrangement described in Taxpayer Alert TA 2016/4 involving cross-border leasing of mobile assets where related legal entities are interposed between the foreign owner and Australian operator?

Record 7 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 8

If you are an Australian income tax consolidated group, do you have an offshore permanent establishment which has allocated expenses associated with an intra-Australian group transaction where the circumstances of the arrangement are similar to the circumstances in Taxpayer Alert TA 2016/7?

Record 8 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 9

If you have related party dealings involving a marketing hub arrangement(s), disclose the outcome you have self-assessed in accordance with Practical Compliance Guidelines PCG 2017/1:

Subcategory 1: white zone
Subcategory 2: green zone
Subcategory 3: blue zone
Subcategory 4: yellow zone
Subcategory 5: amber zone
Subcategory 6: red zone or have not applied PCG 2017/1

Record 9 in RTP Category C question field on the RTP form.

Record the subcategory number of your RTP in the subcategory box.

You will need to repeat this process for each of your marketing hub arrangements. Each arrangement will require a separate RTP Category C question 9 disclosure.

Question 10

Have you excluded from your thin capitalisation calculations of debt capital (in the current or last four years) any value of a ‘debt interest’ that has been treated wholly or partly as equity under accounting standards using an arrangement or variation of an arrangement described in Taxpayer Alert TA 2016/9?

Record 10 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 11

Are you currently involved in a cross-border round robin financing arrangement or variation of an arrangement described in Taxpayer Alert TA 2016/10?

Record 11 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 12

Did you enter into or continue to participate in an arrangement involving a corporate tax entity and a flow-through trust with common (or substantially common) ultimate owners, where the corporate tax entity makes payment(s) to the flow-through trust entity where the arrangement is a type of arrangement or variation of an arrangement described in Taxpayer Alert TA 2017/1?

Record12 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Question 13

Have you entered into transactions involving activities registered under the R&D tax incentive using an arrangement or variation of an arrangement described in Taxpayer Alert TA 2017/3?

Record 13 in RTP Category C question field on the RTP form.

Leave subcategory field blank.

Last modified: 16 Apr 2018QC 55126