Miscellaneous Taxation Ruling
MT 2008/2A2 - Addendum
Shortfall penalties: administrative penalty for taking a position that is not reasonably arguable
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This Addendum is a public ruling for the purposes of the Taxation Administration Act 1953. It amends Miscellaneous Taxation Ruling MT 2008/02 to take into account the commencement of the Minerals Resource Rent Tax (MRRT) from 1 July 2012 recognising that the lack of reasonably arguable position shortfall penalty contained in Division 284 of Schedule 1 to the Taxation Administration Act 1953 will apply to MRRT.
MT 2008/2 is amended as follows:
Omit 'income tax law'; substitute 'relevant tax law, which, for the purposes of this Ruling, is an income tax and minerals resource rent tax (MRRT) law'
After the second dot point insert:
- MRRT matters for the year commencing 1 July 2012 and later years; and
After 'goods and services tax'; insert ', MRRT, petroleum resource rent tax'
Omit 'an income tax law'; substitute 'a relevant tax law'.
Omit 'income tax law'; substitute 'relevant tax law'.
Omit the first dot point, substitute:
- where the shortfall amount exceeds the greater of $10,000 or 1% of the tax payable for the tax year on the basis of the entity's tax return (item 4 in the table in subsection 284-90(1)); or
Omit the heading; substitute:
Example 4 - error of fact - income tax matter
After paragraph 76 add:
76A. MRRT law under section 300-1 of the Minerals Resource Rent Tax Act 2012 (MRRTA) means:
- any Act that imposes MRRT;
- the TAA, so far as it relates to any Act covered by paragraphs (a) and (b);
- any other Act, so far as it relates to any Act covered by paragraphs (a) to (c) (or to so much of that Act as is covered); and
- regulations under an Act, so far as they relate to any Act covered by paragraphs (a) to (d) (or to so much of that Act as is covered).
Example 4 - error of fact 72
Example 4 - error of fact - income tax matter 72
MRRT Law 76A
- MRRTA 2012
- MRRTA 2012 300-1
This Addendum applies on and from 1 July 2012, the day of commencement of the MRRT.
Commissioner of Taxation
11 July 2012
reasonably arguable position