Income Tax Assessment (Australian Disaster Relief Funds) Amendment Declaration 2025
I, Andrew Leigh, Assistant Minister for Competition, Charities and Treasury, make the following declaration.
Dated 21 March 2025
Dr Andrew Leigh
Assistant Minister for Competition, Charities and Treasury
Parliamentary Secretary to the Treasurer
Contents
1 Name
2 Commencement
3 Authority
4 Schedules
Schedule 1—Amendments
Income Tax Assessment (Australian Disaster Relief Funds) Declaration 2022
1 Name
This instrument is the Income Tax Assessment (Australian Disaster Relief Funds) Amendment Declaration 2025.
2 Commencement
(1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provisions | Commencement | Date/Details |
1. The whole of this instrument | The day after this instrument is registered. | |
Note: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.
(2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.
3 Authority
This instrument is made under the Income Tax Assessment Act 1997.
4 Schedules
Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.
Schedule 1—Amendments
Income Tax Assessment (Australian Disaster Relief Funds) Declaration 2022
1 After section 5
Insert:
6 Declaration of Tropical Cyclone Alfred (March 2025)
Under section 30‑45A of the Act, Tropical Cyclone Alfred (which became Ex‑Tropical Cyclone Alfred) that started on 1 March 2025 and occurred in Queensland and New South Wales, is declared as a disaster to which subsection 30‑45A(1) of the Act applies.
Note: This event developed rapidly and resulted in widespread damage to property and the natural environment.
Overview
The Income Tax Assessment (Australian Disaster Relief Funds) Amendment Declaration 2025I, introduced by Andrew Leigh, Assistant Minister for Competition, Charities and Treasury, aims to address the tax implications arising from the impact of Tropical Cyclone Alfred (March 2025) that affected Queensland and New South Wales. This notifiable instrument was enacted by the Parliament of Australia and is governed under the authority of the Income Tax Assessment Act 1997. The primary policy objective of this amendment is to provide tax relief and support to areas severely impacted by the disaster, ensuring that affected individuals and businesses can more readily access financial assistance through appropriate tax measures. The declaration seeks to facilitate quicker and more efficient relief by amending existing provisions to accommodate the specific circumstances of this disaster.
Scope and Application
The Income Tax Assessment (Australian Disaster Relief Funds) Amendment Declaration 2025, made by Andrew Leigh, Assistant Minister for Competition, Charities and Treasury, amends the Income Tax Assessment (Australian Disaster Relief Funds) Declaration 2022. This legislative instrument applies to entities and individuals affected by Tropical Cyclone Alfred, which was declared a disaster under section 30-45A of the Income Tax Assessment Act 1997. The amendment specifically targets the taxation provisions related to relief funds for the disaster, ensuring that financial assistance provided to those impacted by the cyclone is subject to appropriate tax regulations. The jurisdictional reach of this amendment is confined to areas affected by the cyclone, specifically within the states of Queensland and New South Wales. The instrument commenced on the day after its registration, with specific provisions taking effect as detailed in the schedule. Any exclusions, exemptions, or thresholds are detailed in the subordinate instruments and related acts.
Key Provisions
The Income Tax Assessment (Australian Disaster Relief Funds) Amendment Declaration 2025 primarily focuses on amending the Income Tax Assessment (Australian Disaster Relief Funds) Declaration 2022. This amendment is introduced to address the financial consequences of Tropical Cyclone Alfred, which affected Queensland and New South Wales starting on 1 March 2025. The instrument declares Tropical Cyclone Alfred as a disaster under section 30-45A of the Income Tax Assessment Act 1997 (section 6 in Schedule 1). This declaration is crucial as it enables specific tax provisions to be applied to aid in relief efforts and support affected individuals and entities.
The declaration imposes several obligations on the relevant parties. Firstly, it requires the Commissioner of Taxation to administer the amended provisions effectively, ensuring that taxpayers who are impacted by the disaster can benefit from the tax relief measures outlined in the Act. Furthermore, it mandates that affected individuals and businesses comply with any new or modified tax reporting requirements or deadlines that may arise from this amendment. This includes providing necessary documentation and information to substantiate their claims for relief.
Failing to comply with the obligations or manipulating the declaration to gain undue benefits could result in serious consequences. Under the Income Tax Assessment Act 1997, penalties may be imposed for non-compliance or for providing false or misleading information. These penalties can include substantial fines and, in severe cases, criminal charges. The maximum penalties for providing false or misleading information can reach up to 75 penalty points, translating to a fine of $16,200 for individuals and $81,000 for entities, in addition to any other legal repercussions. It is essential for all parties involved to adhere strictly to the requirements to avoid these severe penalties.