Bootlis and Commissioner of Taxation (Taxation)

The applicant, Ms Bootlis, sought to challenge penalties imposed by the Commissioner of Taxation. The dispute arose after the applicant lodged amended tax returns containing significant deductions, which she later accepted were incorrect. These deductions related to a trust that did not exist. The matter came before the Administrative Appeals Tribunal.

The Tribunal was required to determine whether the Commissioner had correctly imposed penalties for recklessly making false and misleading statements in the amended tax returns. Further, the Tribunal had to consider whether the Commissioner's decision not to exercise discretion to remit these penalties was reviewable, and if the applicant's claimed hardships enlivened such discretion. The applicant also bore the burden of proof under section 14ZZK(b)(i) of the *Taxation Administration Act 1953* (Cth) to establish grounds for remission.

Deputy President Ian Hanger AM KC found that the applicant had not discharged her burden of proof. The Tribunal concluded that no circumstances were established that would support the remission of the penalties. Consequently, the Commissioner's decision to impose the penalties was affirmed.