Senate
Treasury Laws Amendment (Combating Multinational Tax Avoidance) Bill 2017
Diverted Profits Tax Bill 2017
Revised Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Scott Morrison MP)This explanatory memorandum takes account of amendments made by the House of Representatives to the Bill as introduced.
Index
Schedule 1: Diverted profits tax
| Bill reference | Paragraph number |
| Items 1 and 44, paragraph (e) of Schedule 1 to the Administrative Decisions (Judicial Review) Act 1977 and section 145-20 of Schedule 1 to the TAA 1953 | 1.194 |
| Items 2, 8 to 10, 12, 42 and 46, subsections 6(1), 177A(5), 177CB(5), 177F(5A) and 177F(5B) of the ITAA 1936, definition of 'period of review' in subsection 995-1(1) of the ITAA 1997, and section 250-10 of Schedule 1 to the TAA 1953 | 1.215 |
| Items 4, and 15, item 13 of the table in subsection 205-30(1) and subsection 205-30(3) of the ITAA 1997 | 1.211 |
| Items 4 and 5, subsection 170(12) and definitions of 'diverted profit tax' and 'DPT assessment' in subsection 170(14) of the ITAA 1936 | 1.183 |
| Item 5, paragraph 177J(1)(b) of the ITAA 1936 | 1.42 |
| Items 6 and 13, definition of 'DPT provisions' in subsection 177A(1) and subsection 177H(1) of the ITAA 1936 | 1.19 |
| Item 6, definition of 'standard corporate tax rate' in subsection 177A(1) of the ITAA 1936 | 1.207 |
| Items 6 and 13, definition of 'DPT base amount' in subsection 177A(1), subsection 177P(2) of the ITAA 1936 | 1.141 |
| Items 6 and 13, definition of 'DPT tax benefit' in subsection 177A(1), subsection 177J(1), sections 177K, 177L and 177M of the ITAA 1936 | 1.21 |
| Item 7, definition of 'standard corporate tax rate' in subsection 177A(1) of the ITAA 1936 | 1.208 |
| Item 9, section 145-10 of Schedule 1 to the TAA 1953 | 1.160 |
| Item 11, subsection 177F(3) of the ITAA 1936 | 1.150 |
| Item 13, subsection 177J(2) of the ITAA 1936 | 1.50 |
| Item 13, paragraph 177J(1)(c) of the ITAA 1936 | 1.61 |
| Item 13, paragraph 177J(1)(d) of the ITAA 1936 | 1.64 |
| Item 13, paragraph 177J(1)(e) of the ITAA 1936 | 1.65 |
| Item 13, paragraph 177J(1)(f) of the ITAA 1936 | 1.69 |
| Item 13, paragraph 177J(1)(g), sections 177K, 177L and 177M of the ITAA 1936 | 1.77 |
| Item 13, paragraphs 177J(1)(g) and section 177K of the ITAA 1936 | 1.79 |
| Item 13, paragraph 177J(1)(g) and subsection 177L(1) of the ITAA 1936 | 1.81 |
| Item 13, subsection 177L(2) of the ITAA 1936 | 1.87 |
| Item 13, subsection 177L(5) of the ITAA 1936 | 1.92 |
| Item 13, subsection 177L(3) of the ITAA 1936 | 1.94 |
| Item 13, subsection 177L(4) of the ITAA 1936 | 1.95 |
| Item 13, subsection 177L(6) of the ITAA 1936 | 1.97 |
| Item 13, subsection 177L(7) of the ITAA 1936 | 1.98 |
| Item 13, paragraph 177J(1)(g) and subsection 177M(1) of the ITAA 1936 | 1.100 |
| Item 13, subsection 177M(2) of the ITAA 1936 | 1.102 |
| Item 13, subsection 177M(3) of the ITAA 1936 | 1.103 |
| Item 13, subsection 177M(4) of the ITAA 1936 | 1.106 |
| Item 13, paragraph 177J(8)(a) of the ITAA 1936 | 1.138 |
| Item 13, paragraph 177J(8)(b) of the ITAA 1936 | 1.139 |
| Item 13, paragraph 177N(a) and subsection 177P(1) of the ITAA 1936 | 1.140 |
| Item 13, subsection 177J(7) of the ITAA 1936 | 1.23 |
| Item 13, subsection 177P(3) of the ITAA 1936 | 1.144, 1.165 |
| Item 13, paragraph 177N(b) of the ITAA 1936 | 1.148 |
| Item 13, paragraph 177J(1)(a) of the ITAA 1936 | 1.24 |
| Item 13, section 177R of the ITAA 1936 | 1.153, 1.189 |
| Item 13, section 177Q of the ITAA 1936 | 1.155 |
| Item 13, subsection 177J(4) of the ITAA 1936 | 1.30 |
| Item 13, subsection 177J(5) of the ITAA 1936 | 1.31 |
| Item 13, subsection 177J(6) of the ITAA 1936 | 1.34 |
| Item 13, subsection 177J(6A) of the ITAA 1936 | 1.35 |
| Item 13, paragraph 177J(1)(b) of the ITAA 1936 | 1.37 |
| Item 13, subsection 177J(3) of the ITAA 1936 | 1.38 |
| Item 13, subsection 177H(2) of the ITAA 1936 | 1.20, 1.159 |
| Item 14, item 8 of the table in subsection 205-15(1) of the ITAA 1997 | 1.203 |
| Items 14 and 15, item 8 of the table in subsection 205-15(1) and subsection 205-15(5) of the ITAA 1997 | 1.205 |
| Items 16 to 18 and 41, section 205-20 and definition of 'pays diverted profits tax' in subsection 995-1(1) of the ITAA 1997 | 1.204 |
| Item 19, item 13 of the table in subsection 205-30(1) of the ITAA 1997 | 1.209 |
| Items 21 to 23 and 43, section 205-35 and definition of 'receives a refund of diverted profits tax' in subsection 995-1(1) of the ITAA 1997 | 1.210 |
| Items 24 to 38, sections 208-115, 208-120, 208-130, 208-145, 214-45, 214-150, 219-15 and 219-30 of the ITAA 1997 | 1.213 |
| Items 39 and 40, paragraph 709-100(1)b) and item 115 of the table of tax-related liabilities in subsection 721-10(2) of the ITAA 1997 | 1.214 |
| Item 41, definition of 'diverted profits tax' in subsection 995-1(1) of the ITAA 1997; sections 3 and 4 of the Diverted Profits Tax Act 2017 | 1.143 |
| Items 43 and 44, definition of 'restricted DPT evidence' in subsection 995-1(1) of the ITAA 1997, subsection 145-25(2) of Schedule 1 to the TAA 1953 | 1.196 |
| Item 44, subsections 145-25(3), (7) and (8) of Schedule 1 to the TAA 1953 | 1.199 |
| Item 44, subsection 145-25(5) of Schedule 1 to the TAA 1953 | 1.200 |
| Item 44, subsection 145-25(6) of Schedule 1 to the TAA 1953 | 1.201 |
| Item 44, subsections 145-25(7) and (8) of Schedule 1 to the TAA 1953 | 1.202 |
| Item 44, paragraph 145-15(1)(b) of Schedule 1 to the TAA 1953 | 1.168 |
| Item 44, subsection 145-15(2) of Schedule 1 to the TAA 1953 | 1.170 |
| Item 44, subsection 145-15(3) of Schedule 1 to the TAA 1953 | 1.173 |
| Item 44, paragraph 145-15(1)(c) of Schedule 1 to the TAA 1953 | 1.175 |
| Item 44, subsection 145-15(4) of Schedule 1 to the TAA 1953 | 1.176 |
| Items 44 to 49, section 280-1, section 280-50 and subsection 280-102C(1) and (2) of Schedule 1 to the TAA 1953 | 1.151 |
| Item 44, section 145-20 of Schedule 1 to the TAA 1953 | 1.191 |
| Item 44, paragraph 145-20(4)(c) of Schedule 1 to the TAA 1953 | 1.193 |
| Items 44 and 45, sections 145-5, 145-10, 145-15, 145-20 and 155-5 of Schedule 1 to the TAA 1953 | 1.162 |
| Item 44, section 145-25 of Schedule 1 to the TAA 1953 | 1.195, 1.197 |
| Item 44, paragraph 145-15(1)(a) of Schedule 1 to the TAA 1953 | 1.166 |
| Items 47 to 49, section 280-1, section 280-50 and subsections 280-102C(3) to (5) of Schedule 1 to the TAA 1953 | 1.186 |
| Item 49, subsection 280-102C(4) of Schedule 1 to the TAA 1953 | 1.187 |
| Item 49, subsection 280-102C(5) of Schedule 1 to the TAA 1953 | 1.188 |
| Items 50 and 51, definition of 'diverted profits tax' in subsection 3(1) and item 30 of the table in section 3C of the Taxation (Interest on Overpayments and Early Payments) Act 1983 | 1.180 |
| Item 52 | 1.216 |
Schedule 3: Transfer pricing guidelines
| Bill reference | Paragraph number |
| Items 1 and 2 | 3.18 |
| Item 3 | 3.19 |
| Items 4 | 3.20 |