Tax Laws Amendment (2013 Measures No. 2) Act 2013 (124 of 2013)

Schedule 1   Monthly PAYG instalments

Part 1   Main amendments

Taxation Administration Act 1953

19   After Subdivision 45-D in Schedule 1

Insert:

Subdivision 45-DA - Monthly payers

Table of sections

45-136 Monthly payer

45-138 Monthly payer requirement

45-136 Monthly payer

(1) You are a monthly payer at a time if:

(a) you were a monthly payer immediately before that time; or

(b) if paragraph (a) does not apply - you satisfy the requirement in subsection 45-138(1) for the income year in which that time occurs.

Note: If paragraph (b) applies, see subsection (3) for the time at which you become a monthly payer.

(2) The starting instalment month in an income year (the current year ) is:

(a) if the Commissioner gives you an instalment rate for the first time during an *instalment month in the current year - the next instalment month in the current year; or

(b) if the Commissioner has given you an instalment rate during a previous income year and your instalment rate has not been withdrawn - the first instalment month in the current year.

How and when you become such a payer

(3) Despite subsection (1), if paragraph (1)(b) applies, you become a *monthly payer just before the end of the *starting instalment month in the income year.

How and when you stop being such a payer

(4) Despite subsection (1), you stop being a *monthly payer at the start of the first *instalment month in a later income year if:

(a) you do not satisfy the requirement in subsection 45-138(1) for that later income year; and

(b) you give the Commissioner a notice (the MP stop notice ) in the *approved form for that later income year before the start of that later income year.

45-138 Monthly payer requirement

(1) You satisfy the requirement in this subsection for an income year if at the start of your *MPR test day for that income year, your base assessment instalment income (within the meaning of section 45-320) for the *base year equals or exceeds:

(a) $20 million; or

(b) if regulations made for the purposes of this paragraph specify a different amount - that amount.

(2) However, you do not satisfy the requirement in subsection (1) for an income year if, at the start of your *MPR test day for that income year:

(a) you have (or, if you are a *member of a *GST group, the *representative member of the GST group has) an obligation to give the Commissioner a *GST return for a quarterly *tax period; and

(b) you are not the *head company of a *consolidated group nor the *provisional head company of a *MEC group; and

(c) your base assessment instalment income (within the meaning of section 45-320) for the *base year is less than $100 million.

(3) For the purposes of subsections (1) and (2), at the start of an entity’s *MPR test day:

(a) determine the amount of the entity’s base assessment instalment income (within the meaning of section 45-320) for the *base year only on the basis of the information provided by the Commissioner to the entity before that start of that day; and

(b) in determining on that day whether an entity has an obligation mentioned in paragraph (2)(a), disregard any creation or removal of such an obligation after that day (even if that change is made retrospective to that day).

(4) An entity’s MPR test day for an income year is:

(a) if the Commissioner gives the entity an instalment rate for the first time during an *instalment month in the income year - the last day of that month; or

(b) otherwise - the first day of the third last month of the previous income year.

(5) Subsection (6) applies if, disregarding that subsection, an entity does not satisfy the requirement in subsection (1) for an income year.

(6) For the purposes of this section, in determining the entity’s base assessment instalment income (within the meaning of section 45-320) for the *base year:

(a) disregard subsection 45-120(2C); and

(b) disregard paragraph (3)(a) of this section, to the extent that that paragraph relates to the operation of subsection 45-120(2C).

(7) If, because of subsection (6), the entity satisfies the requirement in subsection (1) for an income year, the entity must give the Commissioner a notice in the *approved form in respect of that income year before:

(a) if the *starting instalment month in the income year is determined under paragraph 45-136(2)(a) - the end of that starting instalment month; or

(b) if the starting instalment month in the income year is determined under paragraph 45-136(2)(b) - the start of that starting instalment month.