Document ID: chunk:federal_register_of_legislation:C2017A00015:clause:1_3:p1
Version: federal_register_of_legislation:C2017A00015
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 1/2)
Character Range: 9020–12042

3  After Part 5‑5 in Schedule 1
Insert:

Part 5‑10—Commissioner's remedial power

Division 370—Commissioner's remedial power

Table of Subdivisions
 Guide to Division 370
370‑A Commissioner's remedial power

Guide to Division 370

370‑1  What this Division is about

      The Commissioner may determine a modification of the operation of a provision of a taxation law. The modification must not be inconsistent with the intended purpose or object of the provision. Furthermore:
             (a) the Commissioner must consider the modification to be reasonable; and
             (b) the Department, or the Finance Department, must advise that any impact of the modification on the Commonwealth budget would be negligible.
          Example: After a provision of a taxation law is enacted, it is found that, because of developments in the practices of businesses or the Commissioner, the provision imposes disproportionate compliance costs on taxpayers. The Commissioner might, under this Division, be able to modify the operation of the provision to give timely relief.
      An entity must not apply a modification if it would produce a less favourable result for the entity.
          Note: The Commissioner must include in the Commissioner's annual report under section 3B of this Act information about the exercise of his or her powers under this Division.

Subdivision 370‑A—Commissioner's remedial power

Table of sections
370‑5 Commissioner's remedial power
370‑10 Intended purpose or object
370‑15 Repeal of determinations
370‑20 Commencement of determinations

370‑5  Commissioner's remedial power
 (1) The Commissioner may, by legislative instrument, determine a modification of the operation of a provision of a *taxation law if:
 (a) the modification is not inconsistent with the intended purpose or object of the provision; and
 (b) the Commissioner considers the modification to be reasonable, having regard to:
 (i) the intended purpose or object of the provision; and
 (ii) whether the cost of complying with the provision is disproportionate to that intended purpose or object; and
 (c) any of the following persons advises the Commissioner that any impact of the modification on the Commonwealth budget would be negligible:
 (i) the Secretary of the Department, or an APS employee in the Department who is authorised by the Secretary for the purposes of this paragraph;
 (ii) the *Finance Secretary, or an APS employee in the *Finance Department who is authorised by the Finance Secretary for the purposes of this paragraph.
 (2) If the Commissioner determines a modification of the operation of a provision of a *taxation law under subsection (1), the provision operates with the modification.

Scope of determination
 (3) A modification applies generally, unless the determination states that the modification only applies:
 (a) to a specified class of entities; or
 (b) in specified circumstances.
 (4) An entity (the first entity) must treat a modification as:
 (a) not applying to the first entity;