Taxation Administration Act 1953

SCHEDULE 1 - COLLECTION AND RECOVERY OF INCOME TAX AND OTHER LIABILITIES  

Note: See section 3AA .

Chapter 2 - Collection, recovery and administration of income tax  

PART 2-10 - PAY AS YOU GO (PAYG) INSTALMENTS  

Division 45 - Instalment payments  

Subdivision 45-N - How this Part applies to the trustee of a trust  

How Commissioner works out instalment rate and notional tax for a multi-rate trustee

SECTION 45-470   WORKING OUT INSTALMENT RATE  

45-470(1)    
An instalment rate that the Commissioner gives you must be the percentage worked out to 2 decimal places (rounding up if the third decimal place is 5 or more) using the formula:

Your *notional tax                             Base assessment instalment income

×

100

However, the instalment rate must be a nil rate if either component of the formula is nil.

45-470(2)    
For the purposes of the formula in subsection (1):

base assessment instalment income
means so much of the assessable income of the trust, as worked out for the purposes of the *base assessment, as the Commissioner determines is *instalment income of the trust for the *base year.

45-470(3)    
The base assessment is the latest assessment for the most recent income year for which an assessment has been made of the tax payable by you:

(a) under subsection 98(1) or (2) of the Income Tax Assessment Act 1936 in respect of the same beneficiary; or

(b) under section 99 or 99A of the Income Tax Assessment Act 1936 ;

as appropriate.

45-470(4)    
However, if the Commissioner is satisfied that there is a later income year for which no tax is payable as mentioned in subsection (3), the base assessment is the latest return or other information from which an assessment of tax so payable for that income year would have been made.

45-470(5)    
The base year is the income year to which the *base assessment relates.