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

Schedule 6   Shorter period of review (SPOR) taxpayers

Part 1   Income Tax Assessment Act 1936

11   After subsection 170(9D)

Insert:

(9E) Nothing in this section prevents the amendment of an assessment within 4 years after the day on which tax became due and payable under the assessment if:

(a) the amendment relates wholly to one of the following:

(i) an amount included in the taxpayer's assessable income other than an amount referred to in subsection 6AD(2);

(ii) an amount (other than an amount referred to in subsection 6AD(3)) that was deducted from the taxpayer's assessable income in the Commissioner's determination of the amount of the taxpayer's taxable income;

(iii) an amount (other than an amount referred to in subsection 6AD(3)) that the taxpayer was entitled to deduct, but was not deducted, from the taxpayer's assessable income in the Commissioner's determination of the amount of the taxpayer's taxable income; or

(b) the amendment is necessary because circumstances referred to in subsection 6AD(4) that were previously believed to exist in relation to the taxpayer for a year of income have been found not to exist; or

(c) the amendment is necessary, in the Commissioner's opinion, to make a correct assessment solely because of an amendment made under paragraph (a) or (b).

(9F) If:

(a) the Commissioner makes an amendment of an assessment on the assumption that the taxpayer was not a SPOR taxpayer for the year of income to which the assessment related; and

(b) the Commissioner would not have been authorised under this Act to make the amendment if the taxpayer had been a SPOR taxpayer for that year of income; and

(c) the Commissioner afterwards becomes aware that the taxpayer is a SPOR taxpayer for that year of income;

nothing in this section prevents the Commissioner from making a further amendment of the assessment for the purpose of reversing the effect of the earlier amendment.