INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART VI - COLLECTION AND RECOVERY OF TAX  

Division 1C - Payment of instalments by companies and certain trustees  

Subdivision B - General rules for payment of instalments  

SECTION 221AZMAA   LATE PAYMENT OF INSTALMENTS  

221AZMAA(1)   [Liability to general interest charge]  

An instalment taxpayer who fails to pay some or all of an instalment or quarterly payment, by the time by which the instalment or quarterly payment is due to be paid under section 221AZK or 221AZKC , is liable to pay the general interest charge on the unpaid amount for each day in the period that:

(a) started at the beginning of the day by which the instalment or quarterly payment was due to be paid; and

(b) finishes at the end of the last day on which, at the end of the day, any of the following remains unpaid;

(i) the instalment or quarterly payment;

(ii) general interest charge on any of the instalment or quarterly payment.

Note:

The general interest charge is worked out under Division 1 of Part IIA of the Taxation Administration Act 1953 .

221AZMAA(2)   [Calculating unpaid amount]  

For the purpose of working out any unpaid amount of a final instalment:

(a) despite section 221AZT , the final instalment is taken to be due to be paid on the day specified in section 221AZK ; and

(b) the final instalment is first reduced by any credits or offsets specified in paragraph 221AZP(1)(b) .