RWPY and Commissioner of Taxation (Taxation)

The Administrative Appeals Tribunal considered an application by RWPY for JobKeeper payments, which had been refused by the Commissioner of Taxation. The central dispute concerned whether RWPY was carrying on a business, a prerequisite for eligibility for the payments.

The Tribunal was required to determine whether RWPY's engagement as a promotional make-up artist constituted carrying on a business, or if it was more akin to an employment relationship. This involved assessing various indicia of business operations against the specific facts of RWPY's engagement.

Deputy President Bernard J McCabe P found that, on balance, RWPY was not carrying on a business. While some aspects, such as invoicing and the absence of superannuation or PAYG withholding, were consistent with an independent contractor relationship, these were outweighed by other factors. The Tribunal noted that RWPY did not contribute intellectual property, did not expect to retain goodwill, and lacked an established reputation as an independent contractor. Crucially, RWPY's remuneration was based on a fixed hourly rate, with no negotiation for individual skills or experience, which was considered more akin to wages. The Tribunal concluded that the relationship had more in common with an employment arrangement, and RWPY had not discharged the burden of proving the Commissioner's decision was wrong.

The Tribunal affirmed the Commissioner's decision to refuse the JobKeeper payments.