Show download pdf controls
  • AAT decision on JobKeeper and backdated ABNs

    On 21 December 2020, the Administrative Appeals Tribunal (AAT) handed down its decision in Apted and Federal Commissioner of Taxation [2020] AATA 5139.

    AAT decision

    The AAT held that the applicant met the requirement to have an Australian business number (ABN) on 12 March 2020. This relates to eligibility for JobKeeper payments, in circumstances where the Registrar of the Australian Business Register (ABR) decided to reactivate a previously cancelled ABN after 12 March 2020 with a backdated effective date on or before 12 March 2020.

    How it affects you

    We have lodged an appeal in the Federal Court of Australia concerning this decision. Given the importance of establishing clarity on these matters as soon as possible, we have applied for the appeal to be expedited through the courts.

    While the appeal outcome is pending, we will continue to resolve matters where an eligible business participant's eligibility can be determined in a manner favourable to them.

    However, we will not pre-emptively finalise decisions in circumstances where we determine a client does not satisfy the eligibility criteria but consider they might become eligible depending on the views of the Full Federal Court on the issues in this case. Where the client would like us to make a decision prior to the Full Federal Court appeal decision, we will apply the current ATO view for sole traders and partnerships, trusts and companies.

    We are taking a similar position in regard to eligibility for Cash Flow Boost.

    The AAT's decision has not changed the need to satisfy all other eligibility conditions.

    We will provide further information on next steps as further comes to hand.

      Last modified: 18 Jan 2021QC 64480