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 2-5 - PAY AS YOU GO (PAYG) WITHHOLDING  

Division 12A - Distributions by AMITs (including deemed payments)  

Subdivision 12A-A - Distributions by AMITs relating to dividend, interest and royalties  

Operative provisions

SECTION 12A-15   DIVIDEND, INTEREST OR ROYALTY PAYMENTS RELATING TO AMIT - REQUIREMENT TO GIVE NOTICE OR MAKE INFORMATION AVAILABLE  
AMITs and custodians

12A-15(1)    
An entity that is an *AMIT or a *custodian must comply with subsection (2) if:

(a) the entity makes a payment to another entity (the recipient ) from which an amount would have been required to be withheld under Subdivision 12-F if:

(i) the entity were a company; and

(ii) the payment had been made to a foreign resident; and

(iii) the condition in either or both of paragraphs 12-210(a) or (b), of paragraphs 12-245(a) or (b) or of paragraphs 12-280(a) or (b) (as the case requires) were satisfied; and

(b) an amount is not required to be withheld from the payment because:

(i) the recipient is not a foreign resident; or

(ii) the recipient is a foreign resident carrying on business in Australia at or through a permanent establishment (within the meaning of subsection 128B(3F) of the Income Tax Assessment Act 1936 ) of the recipient in Australia, and the payment is attributable to the permanent establishment; and

(c) the payment is any of the following:

(i) a payment that arises because of the operation of section 12A-205 (deemed payments);

(ii) a *pre-AMMA actual payment in respect of a payment that so arises.

12A-15(2)    
The entity must:

(a) give to the recipient a written notice containing the details specified in subsection (3); or

(b) make those details available on a website in a way that the details are readily accessible to the recipient for not less than 5 continuous years.

12A-15(3)    
The notice must be given, or the details must be made available on a website, before or at the time when the payment is made and:

(a) must specify the part of the payment from which an amount would have been so required to have been withheld; and

(b) must specify the income year of the *AMIT to which that part relates.

Note:

Failure to give the notice or make the details available as required by this section incurs an administrative penalty: see section 12A-20 .

Other entities

12A-15(4)    
An entity that is not an *AMIT or a *custodian must comply with subsection (5) if:

(a) the entity receives a payment; and

(b) another entity (the subsequent recipient ) is or becomes entitled:

(i) to receive from the entity; or

(ii) to have the entity credit to the subsequent recipient, or otherwise deal with on the subsequent recipient ' s behalf or as the subsequent recipient directs;

an amount attributable to the payment; and

(c) the entity would have been required to withhold an amount from the payment under subsection 12-215(1) , 12-250(1) or 12-285(1) if the subsequent recipient had been a foreign resident; and

(d) an amount is not required to be withheld from the payment because:

(i) the subsequent recipient is not a foreign resident; or

(ii) the subsequent recipient is a foreign resident carrying on business in Australia at or through a permanent establishment (within the meaning of subsection 128B(3F) of the Income Tax Assessment Act 1936 ) of the subsequent recipient in Australia, and the payment is attributable to the permanent establishment; and

(e) the payment is any of the following:

(i) a payment that arises because of the operation of section 12A-205 (deemed payments);

(ii) a *pre-AMMA actual payment in respect of a payment that so arises.

12A-15(5)    
The entity must:

(a) give to the subsequent recipient a written notice containing the details specified in subsection (6); or

(b) make those details available on a website in a way that the details are readily accessible to the subsequent recipient for not less than 5 continuous years.

12A-15(6)    
The notice must be given, or the details must be made available on a website, before or at the time when the amount is paid or credited to the subsequent recipient, or is dealt with on the subsequent recipient ' s behalf or as the subsequent recipient directs, and:

(a) must specify the part of the payment referred to in paragraph (4)(a) from which an amount would have been so required to have been withheld; and

(b) must specify the income year of the *AMIT to which that part relates.

Note:

Failure to give the notice or make the details available as required by this section incurs an administrative penalty: see section 12A-20 .