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Chapter 4: Proving your assessment

Last updated 17 May 2020


You will need to keep receipts, invoices, ledgers and other accounting records of a company or trust that relate to the calculation of its notional assessable income.

In addition, you will need to keep details of your interest in the company, the interests of your associates and how you worked out the amount you included in your assessable income.

This chapter also explains the substantiation requirements of the active income test, the use of offshore information notices and the keeping of records of elections.

Summary of chapter 4



Applies to


If not done

Part 1

Record keeping for attributable taxpayers

Attributable taxpayer

Keep records of attributable amount

Prosecution $3,000

Part 2

Passing the active income test

Attributable taxpayer

Supply accounts and accounting information to Tax Office

No offence if not supplied - but CFC fails active income test

Part 3

Can the Tax Office ask you to get information from overseas?


Produce documents

Evidentiary sanction - no documents can be used in evidence without Commissioner's consent

Part 4

What records of elections must you keep?

CFC or taxpayer

Make election

Treated as if no election made