Requirements for indemnity requests
Due to the strict legal and policy obligations imposed on government agencies in relation to the expenditure of public money, all indemnity requests from insolvency practitioners must comply with a minimum standard in order to be considered.
This standard consists of the following requirements:
Australian Taxation Office
PO Box 9003
PENRITH NSW 2740
- Requests must be for the sole purpose of seeking an indemnity, rather than included as one of numerous items contained in lengthy reports or circulars to creditors.
- In order to assist our mail scanning and sorting facilities and to ensure indemnity requests are referred to the correct team for actioning, the first page of the indemnity request must be clearly marked as 'Indemnity request'.
- The request must fully address part 1 of the indemnity checklist, as well as part 2 if required. It must also be accompanied by the completed annexure A document. The annexure A document must be completed in detail and clearly set out the costs and required particulars for each task to be undertaken.
- When preparing an indemnity request, it is necessary to refer to and comply with Practice Statement Law Administration PS LA 2011/16, commencing at paragraph 39. This Practice Statement undergoes regular reviews and is subject to change. Practitioners should refer to the online version of PS LA 2011/16 prior to preparing and submitting each indemnity request.
- Except in exceptional circumstances, all indemnity requests must be made before an action is commenced and before committing to the use of particular solicitors, legal counsel or other experts. This is necessary in order for the DCT to provide input regarding the solicitors, legal counsel and any other experts to be used and the rates proposed. The Deputy Commissioner of Taxation (DCT) will also need to assess the risks, merits and prospects of success and recovery of a proposed action before making a decision to commit any Commonwealth resources.
Indemnity requests which do not comply with the above minimum standards will usually not be treated as a genuine request and will not receive a response. Where it is clear an insolvency practitioner made every attempt to comply with these standards but not all aspects were properly addressed, the DCT will consider the request and seek further information if necessary.
Due to the strict legal and policy obligations imposed on government agencies, all indemnity requests must comply with a minimum standard to be considered.