Taxation Administration Act 1953


Note: See section 3AA .

Chapter 2 - Collection, recovery and administration of income tax  


Division 14 - Benefits, gains and taxable supplies for which amounts must be paid to the Commissioner  

Subdivision 14-B - Accruing gains  


*TFN withholding tax is payable if:

(a) in relation to a *Part VA investment, an amount (the accrued gain ) is included in the *investor ' s assessable income for an income year under section 159GQ of the Income Tax Assessment Act 1936 (about gains accruing on securities); and

(b) the investment:

(i) is of a kind mentioned in item 1 or 2 of the table in subsection 202D(1) of that Act; or

(ii) is of a kind mentioned in item 3 of that table and is non-transferable; and

(c) the term of the investment does not end during the income year; and

(d) section 12-140 would have required the *investment body to withhold an amount (the TFN withholding amount ) from a payment of the accrued gain to the investor, if the investment body had made the payment at the end of the income year and section 12-150 had not been enacted.


Section 202D of the Income Tax Assessment Act 1936 lists the investments in connection with which tax file numbers are to be quoted.

The amount of *TFN withholding tax is equal to the TFN withholding amount.

The *TFN withholding tax is payable jointly and severally by the *investor and the *investment body.

However, if the *investment body is the Commonwealth or an *untaxable Commonwealth entity:

(a) the *TFN withholding tax is payable by the *investor; and

(b) the investor is taken to have authorised the investment body to pay the TFN withholding tax on the investor ' s behalf.

The *TFN withholding tax is due and payable at the end of 21 days after the end of the income year referred to in paragraph (1)(a).

Note 1:

When it is due and payable, the TFN withholding tax is payable to the Commissioner: see paragraph 255-5(1)(b) .

Note 2:

An entity by whom it is payable must pay it to the Commissioner in accordance with Subdivision 16-B : see subsection 16-70(3) . If any of it remains unpaid, the entity is liable to pay general interest charge: see section 16-80 .

Note 3:

The Commissioner may defer the time at which TFN withholding tax becomes due and payable: see section 255-10 .

The adoption (under section 18 of the Income Tax Assessment Act 1936 ) of an accounting period ending on a day other than 30 June is disregarded for the purposes of:

(a) this section; and

(b) the application of Division 16E of Part III of that Act for the purposes of this section.


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