Document ID: chunk:federal_register_of_legislation:C2025C00180:clause:1_3:p12
Version: federal_register_of_legislation:C2025C00180
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 12/15)
Character Range: 547759–550361

to withhold

16‑5  When to withhold an amount
  If Division 12 requires an entity to withhold an amount from a payment, the entity must do so when making the payment.
Note 1: An entity is required to withhold an amount under section 12‑145 when an investor becomes presently entitled to income of a unit trust.
Note 1A: A trustee of a closely held trust is required to withhold an amount under section 12‑180 when a beneficiary is presently entitled to unpaid income of the trust.
Note 2: If section 12‑215, 12‑250 or 12‑285, or subsection 12‑390(4), requires an entity to withhold an amount from a payment received by the entity, the entity must do so at the time required by that provision.

16‑7  Treat entity obliged to pay under Subdivision 12A‑C as having withheld amount under Division 12
  For the purposes of this Division:
 (a) if an entity must pay an amount to the Commissioner under Subdivision 12A‑C, treat the entity as being obliged to withhold the amount under Division 12; and
 (b) if an entity has paid an amount to the Commissioner under Subdivision 12A‑C, treat the entity as having withheld the amount under Division 12.

16‑20  Payer discharged from liability to recipient for amount withheld
 (1) An entity that:
 (a) withholds an amount as required by Division 12; or
 (b) pays to the Commissioner an amount as required by Division 12A, 13 or 14;
is discharged from all liability to pay or account for that amount to any entity except the Commissioner.
Note: The entity may be required to refund the amount in some circumstances. See Subdivision 18‑B.
 (2) An entity is discharged from all liability to pay so much of the total amount payable to *acquire a *CGT asset as is equal to any amount the entity pays to the Commissioner under Subdivision 14‑D in relation to the acquisition.

Penalties for not withholding

16‑25  Failure to withhold: offence
 (1) An entity must not fail to withhold an amount as required by Division 12.
Penalty: 10 penalty units.
Note 1: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.
Note 2: See sections 16‑30, 16‑35, 16‑40 and 16‑43 for an alternative administrative penalty.
 (2) An entity must not fail to pay to the Commissioner an amount as required by Division 12A or 13 or Subdivision 14‑A, 14‑B, 14‑C or 14‑D.
Penalty: 10 penalty units.
Note 1: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.
Note 2: See sections 16‑30, 16‑35, 16‑40 and 16‑43 for an alternative administrative penalty.
 (3) An offence against subsection (1) or (2) is a strict liability offence.
Note: For