Document ID: chunk:federal_register_of_legislation:C2004C01086:clause:2_165:p4
Version: federal_register_of_legislation:C2004C01086
Segment Type: clause
Provision Reference: sch 2 cl 165 (pt 4/11)
Character Range: 53192–55827

From receiver

260‑D From agent winding up business for non‑resident principal

260‑E From deceased person's estate

Guide to Division 260

260‑1  What this Division is about

       This Division deals with the collection and recovery of an amount from a person who is not personally liable to pay that amount. Apart from Subdivision 260‑A, which covers a wider range of amounts, this Division primarily deals with amounts of tax‑related liabilities.

Subdivision 260‑A—From third party

Table of sections

260‑5 Commissioner may collect amounts from third party
260‑10 Notice to Commonwealth, State or Territory
260‑15 Indemnity
260‑20 Offence

260‑5  Commissioner may collect amounts from third party

Amount recoverable under this Subdivision

 (1) This Subdivision applies if any of the following amounts (the debt) is payable to the Commonwealth by an entity (the debtor) (whether or not the debt has become due and payable):
 (a) an amount of a *tax‑related liability;
 (b) a judgment debt for a *tax‑related liability;
 (c) costs for such a judgment debt;
 (d) an amount that a court has ordered the debtor to pay to the Commissioner following the debtor's conviction for an offence against a *taxation law.

Commissioner may give notice to an entity

 (2) The Commissioner may give a written notice to an entity (the third party) under this section if the third party owes or may later owe money to the debtor.

Third party regarded as owing money in these circumstances

 (3) The third party is taken to owe money (the available money) to the debtor if the third party:
 (a) is an entity by whom the money is due or accruing to the debtor; or
 (b) holds the money for or on account of the debtor; or
 (c) holds the money on account of some other entity for payment to the debtor; or
 (d) has authority from some other entity to pay the money to the debtor.
The third party is so taken to owe the money to the debtor even if:
 (e) the money is not due, or is not so held, or payable under the authority, unless a condition is fulfilled; and
 (f) the condition has not been fulfilled.

How much is payable under the notice

 (4) A notice under this section must:
 (a) require the third party to pay to the Commissioner the lesser of, or a specified amount not exceeding the lesser of:
 (i) the debt; or
 (ii) the available money; or
 (b) if there will be amounts of the available money from time to time—require the third party to pay to the Commissioner a specified amount, or a specified percentage, of each amount of the available money, until the debt is satisfied.

When amount must be paid

 (5) The notice must