Taxation Administration Act 1953
Note: See section 3AA .Chapter 2 - Collection, recovery and administration of income tax
Note: A Commissioner ' s Remedial Power (CRP 2017/1) is relevant to this part of the tax law. Taxation Administration (Remedial Power - Foreign Resident Capital Gains Withholding) Determination 2017 (F2017L00992) modifies the operation of s 18-15 , 18-20 and 18-25 in Sch 1 to the Taxation Administration Act 1953 as follows:
To the extent that an entity ' s entitlement to a credit referred to in s 18-15 , 18-20 or 18-25 in Sch 1 to TAA is in respect of an amount paid to the Commissioner under Subdiv 14-D of Sch 1 to TAA, treat the entitlement as arising in the income year in which the transaction causing that application of Subdiv 14-D is recognised for income tax purposes for the entity. The modification applies in respect of transactions entered into on or after 1 July 2016.
An entity must treat a modification as not applying to it or any other entity if the modification would produce a less favourable result for it. The Commissioner is empowered by s 370-5 of Sch 1 to TAA to make modifications, by legislative instrument, to ensure the law is administered to achieve its intended purpose or object.
The Commissioner may certify that, based on information before the Commissioner, there is nothing to suggest that an entity is or will be a foreign resident during a specified period.
Such a certificate could result in you not being required to pay an amount under this Subdivision (see subsection 14-210(2) ).14-220(2)
A certificate under subsection (1):
(a) may be issued on application to the Commissioner in the *approved form; and
(b) is to be in writing; and
(c) applies only for the purposes of this Subdivision. 14-220(3)
For the purposes of (but without limiting) paragraph 388-50(1)(c) , the Commissioner may require an application for a certificate under subsection (1) to state:
(a) whether the applicant holds or will hold specified *CGT assets on behalf of another entity during any part of the period for which the certificate is sought; and
(b) whether the applicant knows or reasonably believes that the other entity is or will be a foreign resident during that period.
Section 388-50 sets out when an application is in the approved form.14-220(4)
A certificate issued under subsection (1) is not a legislative instrument.