Document ID: chunk:federal_register_of_legislation:C2004A00636:clause:1_16:p3
Version: federal_register_of_legislation:C2004A00636
Segment Type: clause
Provision Reference: sch 1 cl 16 (pt 3/6)
Character Range: 13708–16412

GDP‑adjusted notional tax

  Subdivision 45‑D (about quarterly payers who pay on the basis of GDP‑adjusted notional tax) applies to you in the same way as it applies to an individual.

How Commissioner works out instalment rate and notional tax for a multi‑rate trustee

45‑470  Working out instalment rate

 (1) An instalment rate that the Commissioner gives you must be the percentage worked out to 2 decimal places (rounding up if the third decimal place is 5 or more) using the formula:
However, the instalment rate must be a nil rate if either component of the formula is nil.

 (2) For the purposes of the formula in subsection (1):

base assessment instalment income means so much of the assessable income of the trust, as worked out for the purposes of the *base assessment, as the Commissioner determines is *instalment income of the trust for the *base year.

 (3) The base assessment is the latest assessment for the most recent income year for which an assessment has been made of the tax payable by you:
 (a) under subsection 98(1) or (2) of the Income Tax Assessment Act 1936 in respect of the same beneficiary; or
 (b) under section 99 or 99A of the Income Tax Assessment Act 1936;
as appropriate.

 (4) However, if the Commissioner is satisfied that there is a later income year for which no tax is payable as mentioned in subsection (3), the base assessment is the latest return or other information from which an assessment of tax so payable for that income year would have been made.

 (5) The base year is the income year to which the *base assessment relates.

45‑473  Commissioner must notify you of notional tax

 (1) When the Commissioner gives you the instalment rate, he or she must also notify you of the amount of your *notional tax, as worked out for the purposes of working out the instalment rate.

 (2) The Commissioner may incorporate notice of the instalment rate and the amount of your *notional tax in notice of your assessment.

45‑475  Working out your notional tax

Notional tax if no withholding income

 (1) Your notional tax is your *adjusted tax (worked out under section 45‑340) on your *adjusted taxable income (worked out under section 45‑480) for the *base year.

Notional tax if trust has withholding income

 (2) However, your notional tax (as worked out under subsection (1)) is reduced if the trust's assessable income for the *base assessment includes amounts in respect of *withholding payments (except *non‑quotation withholding payments).

 (3) It is reduced (but not below nil) by your *adjusted tax (worked out under section 45‑340) on your *adjusted withholding income (worked out under section 45‑485) for the *base year.

Commissioner may