Fuel Tax (Consequential and Transitional Provisions) Act 2006 (73 of 2006)

Schedule 5   Administrative provisions

Part 1   Administrative provisions

Taxation Administration Act 1953

51   Before Division 388 in Schedule 1

Insert:

Division 382 - Record-keeping

Table of Subdivisions

Guide to Division 382

382-A Keeping records of indirect tax transactions

Guide to Division 382

382-1 What this Division is about

You are required to keep records of indirect tax transactions in accordance with this Division.

Subdivision 382-A - Keeping records of indirect tax transactions

Table of sections

382-5 Keeping records of indirect tax transactions

382-5 Keeping records of indirect tax transactions

Records of transactions

(1) You must:

(a) keep records that record and explain all transactions and other acts you engage in that are relevant to a *supply, importation, acquisition, dealing, manufacture or entitlement to which this subsection applies; and

(b) retain those records for at least 5 years after the completion of the transactions or acts to which they relate.

(2) Subsection (1) applies to:

(a) a *taxable supply, *taxable importation, *creditable acquisition or *creditable importation made by you; or

(b) a *supply made by you that is *GST-free or *input taxed; or

(c) a *wine taxable dealing on which you are liable for *wine tax; or

(d) any other assessable dealing within the meaning of the *Wine Tax Act made by you; or

(e) your entitlement to a *wine tax credit; or

(f) a *taxable supply of a luxury car, or a *taxable importation of a luxury car, made by you; or

(g) your entitlement to a special credit under the A New Tax System (Goods and Services Tax Transition) Act 1999 or the A New Tax System (Wine Equalisation Tax and Luxury Car Tax Transition) Act 1999; or

(h) if you are entitled to a *fuel tax credit for fuel that you acquire, manufacture or import - the acquisition, manufacture or importation; or

(i) if you are liable, as a recipient of a taxable supply, to pay the *GST on a taxable supply because of section 15C of the A New Tax System (Goods and Services Tax Transition) Act 1999 - the taxable supply.

(3) If you give the Commissioner a return that takes into account:

(a) an *input tax credit that is attributable to a *tax period under subsection 29-10(4) of the *GST Act; or

(b) a *fuel tax credit that is attributable to a tax period or *fuel tax return period under subsection 65-5(4) of the Fuel Tax Act 2006;

you must:

(c) keep records that record and explain all transactions and other acts you engage in that are relevant to the acquisition or importation in question; and

(d) retain those records for at least 5 years after the return was given to the Commissioner.

Records of elections, choices, estimates, determinations and calculations

(4) If you make any election, choice, estimate, determination or calculation under an *indirect tax law, you must:

(a) keep records containing particulars of:

(i) the election, choice, estimate, determination or calculation; and

(ii) in the case of an estimate, determination or calculation - the basis on which, and the method by which, the estimate, determination or calculation was made; and

(b) retain those records:

(i) if the indirect tax law specifies circumstances in which the election, choice, estimate, determination or calculation ceases to have effect - for at least 5 years after the election, choice, estimate, determination or calculation ceased to have effect; or

(ii) in any other case - for at least 5 years after the election, choice, estimate, determination or calculation was made.

(5) This section requires a record of an *arrangement entered into under section 153-50 of the *GST Act to be kept and retained by the party entering into the arrangement as principal. It does not require such a record to be kept or retained by the party entering into the arrangement as agent.

(6) This section requires records of a notice given under subsection 153-65(2) of the *GST Act to be kept and retained by both the entity giving the notice and the entity receiving it.

(7) Without limiting subsection (4), if you choose to apply Division 63 (non-profit sub-entities) of the *GST Act, you must:

(a) keep records that record:

(i) your choice to apply that Division; and

(ii) each branch that is treated as a separate entity for the purposes of the *GST law; and

(iii) each branch that has ceased to be treated as a separate entity for the purposes of the GST law; and

(b) retain those records for at least 5 years after you revoke the choice.

Requirements of records

(8) The records must be:

(a) in English, or readily accessible and easily convertible into English; and

(b) such as to enable your liabilities and entitlements under an *indirect tax law to be readily ascertained.

Offence

(9) An entity commits an offence if:

(a) the entity is required to keep or retain a record under this section; and

(b) the entity does not keep or retain the record in accordance with this section.

Penalty: 30 penalty units.

Note 1: Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

Note 3: Section 288-25 imposes an administrative penalty if an entity does not keep or retain records as required by this section.

(10) Subsection (9) is an offence of strict liability.

Note: For strict liability, see section 6.1 of the Criminal Code.

Defence

(11) Subsection (9) does not apply if:

(a) the Commissioner notifies the entity that the entity does not need to retain the record; or

(b) the entity is a company that has been finally dissolved.

Note: A defendant bears an evidential burden in relation to the matters in subsection (10): see subsection 13.3(3) of the Criminal Code.

(12) For the purposes of section 288-25, this section does not require an entity to retain a record if:

(a) the Commissioner notifies the entity that the entity does not need to retain the record; or

(b) the entity is a company that has been finally dissolved.

Note: Section 288-25 imposes an administrative penalty if an entity does not keep or retain records as required by this section.