INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART VI - COLLECTION AND RECOVERY OF TAX  

Division 2 - Collection by instalments of tax on persons other than companies  

SECTION 221H   RECORD-KEEPING AND APPLICATION OF DEDUCTIONS IN PAYMENT OF TAX  

221H(1)   [5 years retention period]  

An employee who is given a group certificate that sets out:

(a) salary or wages received by the employee in a year of income; or

(b) all or part of the employee's reportable fringe benefits amount for a year of income in respect of the employee's employment by an entity that is an employer for the purposes of the Fringe Benefits Tax Assessment Act 1986 (as that Act applies of its own force or because of the Fringe Benefits Tax (Application to the Commonwealth) Act 1986 );

must keep the group certificate for 5 years after the employee's assessment for the year of income.

221H(1A)   [Production on request]  

The employee must produce the group certificate if requested to within the 5 year period by the Commissioner.

221H(1AA)   [Application]  

Subsections (1) and (1A) apply to a person who is an employee within the meaning of the Fringe Benefits Tax Assessment Act 1986 as if the person were an employee for the purposes of this Division.

221H(1B)   [5 year retention of tax vouchers]  

A person who purchases tax vouchers during a year of income must retain them for 5 years after the person's assessment for that year of income is made.

221H(1C)   [Production of tax vouchers]  

The person must produce the tax vouchers if requested to within the 5 year period by the Commissioner.

221H(2)   [Entitlement to credit - deductions by employer]  

If:

(a) an employer has made any deductions in respect of an employee under this Division during a year of income; and

(b) an assessment has been made of the tax payable, or the Commissioner is satisfied that no tax is payable, by the employee in relation to the year of income;

the employee is entitled to a credit equal to the sum of the deductions.

221H(3)   [Entitlement to credit - vouchers]  

If:

(a) a person has purchased one or more tax vouchers during a year of income; and

(b) an assessment has been made of the tax payable, or the Commissioner is satisfied that no tax is payable, by the purchaser in relation to the year of income;

the purchaser is entitled to a credit equal to the sum of the amounts of the purchases.

221H(4)    

221H(4A)    

221H(4B)   [Tax deemed paid]  

The employee or purchaser is taken to have paid any amount credited by the Commissioner in payment of the tax or other liability, at the time at which the Commissioner credits the sum or at any earlier time that the Commissioner determines.

221H(5)   [Recovery of excess credit]  

If the amount paid, or sum credited, by the Commissioner exceeds the amount to which the employee or purchaser is entitled, the Commissioner may recover the excess as if it were income tax due and payable by the employee or purchaser.

221H(5A)   [Deductions from eligible termination payments]  

Where:

(a) a deduction has been made by an employer from an eligible termination payment that a person has received, or was entitled to receive; and

(b) the Commissioner is satisfied that the whole or a part of the eligible termination payment (which whole or part is in this subsection referred to as the ``applied amount'' ):

(i) is taken for the purposes of Subdivision AA of Division 2 of Part III to have been rolled-over; or

(ii) will, by virtue of an amount or amounts being paid to a person or persons (in this subsection referred to as the ``eligible payee'' or ``eligible payees'' ) as mentioned in subsection 27A(12) , be deemed to have been so rolled-over; and

(c) where the applied amount is part only of the eligible termination payment - the amount of the deduction referred to in paragraph (a) exceeds the amount of the deduction that would have been required to be made from the eligible termination payment if the eligible termination payment had not included the applied amount;

the Commissioner shall, as he or she considers appropriate:

(d) pay to the person an amount equal to the amount of the deduction referred to in paragraph (a), or the excess referred to in paragraph (c), as the case requires;

(e) pay to the person and to the eligible payee or eligible payees on behalf of the person amounts equal in the aggregate to the amount of the deduction referred to in paragraph (a), or the excess referred to in paragraph (c), as the case requires; or

(f) pay to the eligible payee or eligible payees on behalf of the person an amount equal to, or amounts equal in the aggregate to, the amount of the deduction referred to in paragraph (a), or the excess referred to in paragraph (c), as the case requires.

221H(5B)    

221H(6)    

221H(7)    

221H(8)    

221H(9)    

221H(10)