Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 378 - Digital games (tax offset for Australian expenditure on digital games)  

Subdivision 378-C - Certificates for digital games tax offset  

SECTION 378-70   Revocation of certificate  

378-70(1)    
The *Arts Minister may revoke a certificate issued under section 378-25 if the Arts Minister is satisfied that:

(a)    the issue of the certificate was based on inaccurate information; or

(b)    the certificate was obtained by fraud or serious misrepresentation; or

(c)    if the certificate is issued under subsection 378-25(1) (completion certificate) to a company for an income year in relation to a *digital game - the total of the company ' s *qualifying Australian development expenditure on the game incurred in *completing the game is less than $500,000; or

(d)    if the certificate is issued under subsection 378-25(3) (porting certificate) to a company for an income year in relation to a digital game - the total of the company ' s qualifying Australian development expenditure on the game incurred in *porting the game is less than $500,000; or

(e)    if the certificate is issued under subsection 378-25(5) (ongoing development certificate) to a company for an income year in relation to one or more digital games - the total of the company ' s qualifying Australian development expenditure on the games incurred in the income year on the *ongoing development of the games in the income year is less than $500,000.

378-70(2)    
If the *Arts Minister revokes a certificate under subsection (1) , the Arts Minister must, within 30 days after the date of revocation, give written notice of the revocation to:

(a)    the company to whom the certificate was issued, including reasons for the decision to revoke the certificate; and

(b)    the Commissioner.

378-70(3)    
If a certificate is revoked under subsection (1) , it is taken, for the purposes of this Division, never to have been issued.

Note:

This means that if an assessment of a company ' s income tax is issued on the basis that the company is entitled to the digital games tax offset and a certificate on which the entitlement is based is then revoked, the assessment will be amended to take account of the fact that the company was never entitled to the offset or was entitled to the offset to a lesser amount: see section 378-80 .

378-70(4)    
Subsection (3) does not apply for the purposes of:

(a)    the operation of this section or section 378-85 ; or

(b)    a review by a court or the *AAT of the decision to revoke the certificate.