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Taxation of financial arrangements – supporting information

Information to provide with your objection or private ruling request about the taxation of financial arrangements (TOFA).

Last updated 23 June 2024

How to lodge

To apply for a private ruling about TOFA:

To lodge an objection about TOFA:

If you are unsure whether TOFA will apply in your situation, see the Guide to taxation of financial arrangements.

Supporting information

Providing this information up front will reduce delays.

If you've previously given us any of the information listed below, you don't need to resend it.

The information we need includes the following (you can refer to the Guide to taxation of financial arrangements for an explanation of the specific terms):

  • the income year in which the TOFA rules first apply to you
  • details of which of these TOFA elections you have made or intend to make. For each election, identify the date it either was or will be made  
  • identify the material facts of each financial arrangement that TOFA will apply to. For each financial arrangement  
    • provide your analysis of why it is a financial arrangement to which the TOFA rules will apply – include references to relevant legislation and interpretative resources
    • advise when you started to have the financial arrangement
    • advise whether it is a financial arrangement by virtue of    
      • section 230-45 of the Income Tax Assessment Act 1997
      • subsection 230-50(1) of the Income Tax Assessment Act 1997
      • subsection 230-50(2) of the Income Tax Assessment Act 1997
      • Subdivision 230-J of the Income Tax Assessment Act 1997
    • for each section 230-45 financial arrangement, provide details of  
      • all the rights to receive and obligations to provide financial benefits you have under the arrangement
      • whether the identified rights and obligations are cash settlable rights and obligations to receive or provide financial benefits
      • why the arrangement is one financial arrangement for the purposes of subsection 230-55(4) of the ITAA 1997
    • for each subsection 230-50(1) financial arrangement, provide details of why it satisfies the definition of an equity interest
    • for each subsection 230-50(2) financial arrangement, also provide details of  
      • all the rights to receive and obligations to provide something that is a financial arrangement under section 230-50 under the arrangement
      • why the arrangement is one financial arrangement for the purposes of subsection 230-55(4) of the ITAA 1997
      • whether the right, obligation or combination is, or forms part of, a financial arrangement under subsection 230-45(1) of the ITAA 1997
    • for each Subdivision 230-J financial arrangement, provide details of how Subdivision 230-J applies to the arrangement
    • for each financial arrangement, explain whether any of the exceptions provided in Subdivision 230-H of the ITAA 1997 apply
    • explain whether any of the exceptions provided in Subdivision 230-H of the Income Tax Assessment Act 1997 apply
    • explain which TOFA tax timing method applies to the financial arrangement – that is, accruals, realisation, retranslation, fair value, financial reports or hedging
    • explain whether the financial arrangement gave rise to or is included in a transitional balancing adjustment amount under item 104 of Tax Laws Amendment (Taxation of Financial Arrangements) Act 2009. If so, explain how the amount is calculated for the financial arrangement and why it is a financial arrangement to which the TOFA rules will apply.

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