ATO National Tax Equivalent Regime
PART 1: THE NATIONAL TAX EQUIVALENT REGIME
NTER IS AN ADMINISTRATIVE ARRANGEMENT
7. Each NTER entity will be assessed annually as to its income tax equivalent liability and will be required to pay instalments of the (expected) liability to the Treasury or Revenue Office of the State or Territory to which the NTER entity belongs. However, NTER entities do not become subject directly to the income tax laws as a result of their participation in the NTER.
|[ History: Paragraph 7 amended by April 2014 (Version 9), with effect from the instalment month and instalment quarter starting on 1 January 2014, by deleting reference to 'quarterly'.]|
OBJECTIVE OF NTER
RELEVANT TAXATION LAWS
- the federal income tax laws listed at Attachment 4; and
- modifications to the federal income tax laws as set out in this Manual.
10. The modifications to the federal income tax laws are considered necessary to take into account the NTER entities' tax history, ownership by State or Territory governments and activities which may be regarded as unique to public sector enterprises.
RELATIONSHIP WITH STATE AND TERRITORY TERS
11. The NTER represents an evolution of the concepts and practices of the State and Territory based tax equivalent regimes (the TERs) which have been established for a number of years. An entity commencing in the NTER between 1 July 2001 and 1 July 2002 will have been subject to a TER during the period immediately preceding its commencement in the NTER.
|[Archived: History notes for amendments to the Manual made by Versions 2, 3, 4, 5 & 6 have been archived. For the wording of these history notes, see Version 8 12 February 2012]|