A New Tax System (Tax Administration) Act 1999 (179 of 1999)

Schedule 5   TFN declarations and certain annual reports

Part 1   Amendments

Income Tax Assessment Act 1936

18   Subsection 202CA(1)

Repeal the subsection, substitute:

(1) Subject to this Division, a TFN declaration commences to have effect when it is made.

Note: Under section 202CB, a TFN declaration is not effective unless the tax file number of the recipient is stated in the declaration.

(1A) A TFN declaration ceases to have effect when the recipient makes another TFN declaration in relation to the payer.

(1B) A TFN declaration ceases to have effect 12 months after it is made if no eligible PAYG payment is made by the payer to the recipient during that 12 month period.

(1C) If:

(a) the payer makes an eligible PAYG payment to the recipient after the TFN declaration is made; and

(b) a period of 12 months then elapses without any further eligible PAYG payment being made by the payer to the recipient;

then the TFN declaration ceases to have effect at the end of that period of 12 months.

Note: The heading to section 202CA is altered by omitting " employment declaration " and substituting " TFN declaration ".