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Who is eligible for this review

A large market independent review (LMIR) is a discretionary service to eligible taxpayers with an income or turnover over $250 million on lodged tax returns.

Last updated 30 October 2022

Receiving an offer

Your audit case officer will confirm your eligibility and, if suitable, an offer to apply for an independent review will be included with your Statement of audit position letter.

We expect participants to approach the process cooperatively and with a dispute resolution mindset.

If you accept the offer within 10 business days, we will consider the grounds for your disagreement and confirm that your case qualifies for an LMIR.

The Deputy Commissioner of Objections and Review has the final decision on whether to conduct an independent review.

When an independent review is not available

An independent review won't be available if any of the following apply:

  • You don't meet the eligibility requirements and therefore don't receive an offer for an independent review with your Statement of audit position.
  • We receive your request for a review more than 10 business days (or the otherwise agreed period) after we issue the Statement of audit position.
  • Your request for review does not clearly specify and outline each area of disagreement with the Statement of audit position.
  • Your review would require more than 60 business days consideration due to the issues and information provided, however we may offer an LMIR on selected issues.
  • The 60 working days allowed for independent review causes the audit end date to be projected beyond the period of review and you don't agree to extend the relevant period of review to accommodate the independent review and the post-review process.

Ineligible cases

Your case will be ineligible if:

  • it has or will be considered by the General Anti-Avoidance Rules Panel, regardless of the extent of consideration of the substantive provisions
  • the specific areas of your disagreement were already subject to an independent evaluative resolution process for example, early neutral evaluation or case appraisal
  • you have had substantially the same issues considered in another independent review or an objection (this does not exclude independent review where there are material differences in the facts or law)
  • it relates to transfer pricing issues, with the exception of cases where the audit position includes legal questions clearly capable of determining the case and
    • recommendations being made as to which party has the better view
    • being reviewed without considering the underlying economic analysis
  • it is related to the application of shortfall penalties, as the penalty paper is not issued until after the review is completed
  • it is about the process or procedure and does not affect who has the better view of the ultimate tax issue.

Discretion to not offer a review

In addition, the Deputy Commissioner of Objection and Review has the discretion to not offer an independent review. This includes where:

  • we have publicly flagged that tackling the main issues in dispute is among its highest priorities (which might be the case where a Taxpayer Alert is clearly on point)
  • the case has significant systematic large market impacts
  • you have not cooperated effectively with the audit, for example, you have not provided requested material information
  • your case has already been escalated for in-depth scrutiny and review by independent senior officers.

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