Document ID: chunk:federal_register_of_legislation:C2011C00610:clause:4_2:p6
Version: federal_register_of_legislation:C2011C00610
Segment Type: clause
Provision Reference: sch 4 cl 2 (pt 6/7)
Character Range: 180973–183529

does not quote his or her tax file number or ABN to the FMD provider, the Pay as you go (PAYG) withholding required under section 12‑140 in Schedule 1 to the Taxation Administration Act 1953 from a repayment of the deposit is at the highest marginal tax rate.

Note 3: Division 4A of Part VA of the Income Tax Assessment Act 1936 sets out rules for quoting tax file numbers in connection with farm management deposits.

Meaning of FMD provider

 (3) In this Act:

FMD provider means an entity that:
 (a) is an *ADI; or
 (b) carries on in Australia the *business of banking, so long as the Commonwealth, a State or a Territory guarantees the repayment of any deposit taken in the course of that business; or
 (c) carries on in Australia a business that consists of or includes taking money on deposit, so long as the Commonwealth, a State or a Territory guarantees the repayment of any deposit taken in the course of that business.

393‑25  Owners of farm management deposits

Meaning of owner

 (1) The owner of a *farm management deposit is:
 (a) if paragraph (b) does not apply—the individual who made or is making the deposit; or
 (b) in the case of a deposit made or being made by the trustee of a trust on behalf of a beneficiary who is an individual—the beneficiary.

Primary production businesses carried on by partnerships and trusts

 (2) This Division applies to you as if you were an individual who is carrying on a *primary production business that is actually carried on by a partnership, if you are an individual who is a partner in the partnership.

 (3) This Division, and section 97A of the Income Tax Assessment Act 1936 (about beneficiaries who are owners of farm management deposits), apply to you as if you were an individual who is carrying on a *primary production business that is actually carried on by a trustee, if you are an individual who is a beneficiary presently entitled to a share of the income of the trust.

Application of Division to beneficiary no longer under legal disability

 (4) If:
 (a) a *farm management deposit was made by a trustee on behalf of a beneficiary of a trust; and
 (b) the beneficiary was under a legal disability when the deposit was made; and
 (c) the beneficiary is no longer under a legal disability;
then this Division, and Division 4A of Part VA of the Income Tax Assessment Act 1936, apply as if the beneficiary had made the deposit.

Note: Division 4A of Part VA of the Income Tax Assessment Act 1936 is about quotation of tax file numbers in connection with farm management deposits.