Document ID: chunk:federal_register_of_legislation:C2004A00662:clause:1_3:p17
Version: federal_register_of_legislation:C2004A00662
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 17/20)
Character Range: 43890–46666

*personal services income is for producing a result; and
 (b) the individual is required to supply the *plant and equipment, or tools of trade, needed to perform the work from which the individual produces the result; and
 (c) the individual is, or would be, liable for the cost of rectifying any defect in the work performed; and
 (d) 80% or more of the individual's personal services income could reasonably be expected to be, or was, income from the same entity, or from the same entity and that entity's *associates.

 (6) In determining whether the individual meets paragraph (5)(a), (b) or (c), the Commissioner may have regard to whether it is the custom or practice, when work of that kind is performed by an entity other than an employee:
 (a) for the personal services income from the work to be for producing a result; and
 (b) for the entity to be required to supply the plant and equipment, or tools of trade, needed to perform the work; and
 (c) for the entity to be liable for the cost of rectifying any defect in the work performed;
as the case requires.

 (7) Subsection (5) can apply whether or not the Commissioner is satisfied that the individual meets the requirements of paragraphs (3)(a) and (b).

87‑65  Personal services business determinations for personal services entities

Making etc. personal services business determinations

 (1) The Commissioner may, by giving written notice to a *personal services entity whose *ordinary income or *statutory income includes some or all of an individual's *personal services income:
 (a) make a personal services business determination relating to the individual's personal services income included in the entity's ordinary income or statutory income; or
 (b) vary such a determination.

 (2) The Commissioner may, in the notice, specify:
 (a) the day on which the determination or variation takes effect, or took effect;
 (b) the period for which the determination has effect;
 (c) conditions to which the determination is subject.

Matters about which the Commissioner must be satisfied

 (3) The Commissioner must not make the determination unless satisfied that, in the income year during which the determination first has effect, or is taken to have first had effect:
 (a) the entity:
 (i) could reasonably be expected to meet, or met, the employment test under section 87‑25 or the business premises test under section 87‑30, or both; or
 (ii) but for unusual circumstances applying to the entity in that year, could reasonably have been expected to meet, or would have met, at least one of the 3 *personal services business tests; and
 (b) the individual's *personal services income included in the entity's *ordinary income or *statutory income could reasonably be expected to be, or was, from the