Taxation Ruling IT 2534A - Addendum - Income tax: taxation treatment of directors fees, bonuses, etc



Ruling: 1. Paragraph 6: Omit the paragraph; substitute: This Addendum applies on and from 27 February 2008. Commissioner of Taxation 27 February 2008




This Addendum amends Taxation Ruling IT 2534 to reflect the changes to the law caused by the repeal of inoperative provisions and the introduction of the Pay As You Go (PAYG) withholding system. | The obligation to withhold from these amounts arises at the time the amounts are paid or otherwise made available to the director or employee. | The amount withheld is worked out in accordance with the relevant withholding schedule or regulation: section 15-10 of Schedule 1 to the TAA. The Commissioner may vary the amount to be withheld in special circumstances: section 15-15 of Schedule 1 to the TAA. | If a tax file number has not been quoted, withholding will occur at the highest marginal tax rate plus Medicare levy.


Related rulings: IT 2534
Legislative references: 25(1) 51(1) 221C(1A)