A New Tax System (Goods and Services Tax Transition) Act 1999

Part 3 - Agreements spanning 1 July 2000  

Division 2 - Agreements also spanning 1 July 2005  

Subdivision C - Arbitrated offers  

15L   Arbitration  

(1)  
Change to the consideration must be arbitrated as follows:


(a) the supplier must apply to an arbitrator for the appointment of an assessor to determine an appropriate change to the consideration;


(b) the arbitrator must appoint as an assessor a person whom the arbitrator is satisfied:


(i) is suitably qualified to determine an appropriate change to the consideration; and

(ii) is independent of both the supplier and the recipient;


(c) in determining an appropriate change, the assessor must only take into account the impact of the New Tax System changes on the supplier ' s cost and expenses;


(d) the assessor ' s determination of an appropriate change must be made within 28 days of the end of the offer period and:


(i) be in writing, signed and dated by the assessor; or

(ii) be in the form specified in the regulations.

(2)  
The supplier must not apply under paragraph (1)(a) until after:


(a) the end of the initial offer period; or


(b) the recipient gives to the supplier a written rejection of the initial offer;

whichever happens earlier.

(3)  


In this section:

New Tax System changes
means the following:


(a) the amendment of the former Sales Tax (Exemptions and Classifications) Act 1992 made by this Act;


(b) the ending of sales tax, as provided for in the former A New Tax System (End of Sales Tax) Act 1999 ;


(c) the imposition of GST;


(d) any other changes (including changes to Commonwealth, State or Territory laws) prescribed by the regulations for the purposes of this definition.




This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.