TAXATION ADMINISTRATION ACT 1953

SCHEDULE 1 - COLLECTION AND RECOVERY OF INCOME TAX AND OTHER LIABILITIES  

Note: See section 3AA .

Chapter 2 - Collection, recovery and administration of income tax  

PART 2-5 - PAY AS YOU GO (PAYG) WITHHOLDING  

Division 12 - Payments from which amounts must be withheld  

Subdivision 12-H - Distributions of withholding MIT income  

Operative provisions

SECTION 12-395   REQUIREMENT TO GIVE NOTICE OR MAKE INFORMATION AVAILABLE  

Withholding MITs and custodians

12-395(1)  


An entity that is a *withholding MIT or a *custodian must comply with subsection (2) if:


(a) the entity makes a payment to another entity (the recipient ) from which an amount would have been required to be withheld under section 12-385 or subsection 12-390(1) if the payment had been made to an entity covered by section 12-410 ; and


(b) an amount is not required to be withheld from the payment because the recipient is not an entity covered by section 12-410 .

Note:

An entity may be covered by section 12-410 if the entity has an address outside Australia or payment is authorised to be made to a place outside Australia.

12-395(2)  
The entity must:


(a) give to the recipient a written notice containing the details specified in subsection (3) ; or


(b) make those details available on a website in a way that the details are readily accessible to the recipient for not less than 5 continuous years.

12-395(3)  
The notice must be given, or the details must be made available on a website, before or at the time when the payment is made and:


(a) must specify the part of the payment from which an amount would have been so required to have been withheld; and


(aa) must specify the extent (if any) to which the payment is, or is attributable to, a *fund payment from a *clean building managed investment trust; and


(ab) must specify the extent (if any) to which the payment is, or is attributable to, *non-concessional MIT income (see section 12-435 ); and


(b) must specify the income year of the *withholding MIT to which that part relates.

Note:

Failure to give the notice or make the details available as required by this section incurs an administrative penalty: see section 12-415 .

Other entities

12-395(4)  


An entity that is not a *withholding MIT or a *custodian must comply with subsection (5) if:


(a) the entity receives a payment; and


(b) another entity (also the recipient ) is or becomes entitled:


(i) to receive from the entity; or

(ii) to have the entity credit to the recipient, or otherwise deal with on the recipient ' s behalf or as the recipient directs;
an amount attributable to the payment; and


(c) the entity would have been required to withhold an amount from the payment under subsection 12-390(4) if the recipient had been a foreign resident; and


(d) an amount is not required to be withheld from the payment because the recipient is not a foreign resident.

12-395(5)  
The entity must:


(a) give to the recipient a written notice containing the details specified in subsection (6) ; or


(b) make those details available on a website in a way that the details are readily accessible to the recipient for not less than 5 continuous years.

12-395(6)  
The notice must be given, or the details must be made available on a website, before or at the time when the amount is paid or credited to the recipient, or is dealt with on the recipient ' s behalf or as the recipient directs, and:


(a) must specify the part of the payment referred to in paragraph (4)(a) from which an amount would have been so required to have been withheld; and


(aa) must specify the extent (if any) to which the payment is, or is attributable to, a *fund payment from a *clean building managed investment trust; and


(ab) must specify the extent (if any) to which the payment is, or is attributable to, *non-concessional MIT income (see section 12-435 ); and


(b) must specify the income year of the *withholding MIT to which that part relates.

Note:

Failure to give the notice or make the details available as required by this section incurs an administrative penalty: see section 12-415 .


 

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