Income Tax Assessment Act 1997



Division 230 - Taxation of financial arrangements  

Subdivision 230-E - Hedging financial arrangements method  

SECTION 230-345  

230-345   Requirements not satisfied because of honest mistake or inadvertence  

If a *derivative financial arrangement, or a *foreign currency hedge, that you have would not be a *hedging financial arrangement only because the requirements of paragraph 230-335(1)(b) or (c), or both, are not satisfied because of an honest mistake or inadvertence, it is nevertheless a hedging financial arrangement if the Commissioner considers this appropriate having regard to:

(a) your documented risk management practices and policies; and

(b) your record keeping practices; and

(c) your accounting systems and controls; and

(d) your internal governance processes; and

(e) the circumstances surrounding the mistake or inadvertence (including the steps (if any) taken to correct or address the mistake or inadvertence and the steps (if any) taken to prevent a recurrence); and

(f) the extent to which the requirements of paragraphs 230-335(1)(b) and (c) have been met; and

(g) the objects of this Subdivision.

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