Income Tax Assessment Act 1997



Division 276 - Australian managed investment trusts: attribution managed investment trusts  

Subdivision 276-G - Shortfall and excess taxation  

Ensuring unders and overs are properly taxed

SECTION 276-425   Trustee taxed on amounts of over of character relating to tax offset not properly carried forward  

An *AMIT for an income year has a shortfall under this subsection for the income year equal to the amount (if any) by which:

(a) an *over of the AMIT of a character relating to a *tax offset in the income year relating to an earlier income year (the base year ) (as worked out by the trustee on the basis of the trustee ' s knowledge at the discovery time mentioned in subsection 276-345(2) );

falls short of:

(b) what the over would have been if it had been worked out on the basis of what the trustee should have known at that time.

Liability to tax

The trustee is liable to pay tax at the rate declared by the Parliament on the amount that is the sum of each shortfall of the *AMIT under subsection (1) for the income year.


The tax is imposed by the Income Tax (Attribution Managed Investment Trusts - Offsets) Act 2016 and the rate of the tax is set out in that Act.

Adjustment for later overs relating to the same base year

If there is a shortfall under subsection (1) for a particular character for an income year, for the purposes of applying paragraph 276-345(3)(b) (base year running balance) to a later income year, decrease the amount mentioned in subparagraph 276-345(3)(b)(ii) (previous discovery year amount) for that character by the amount of the shortfall.

Subsection (5) applies if:

(a) there is a shortfall under subsection (1) of a particular character relating to a *tax offset for an income year; and

(b) the *AMIT has an *over of that character in a later income year relating to the base year mentioned in subsection (1); and

(c) the amount mentioned in paragraph (1)(b) is reflected (in whole or in part) in the amount of the over.

Reduce the shortfall by the extent to which the *over in the later income year reflects the amount mentioned in paragraph (1)(b).


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