Lodgment of returns in accordance with the Income Tax Assessment Act 1936, the Income Tax Assessment Act 1997, the Taxation Administration Act 1953, the Superannuation Industry (Supervision) Act 1993 and The Income Tax (Transitional Provisions) Act 1997 for the year of income ended 30 June 2007
Explanatory Statement
General outline of Instrument
This Instrument sets out who is required to lodge an annual return, in the approved form, and the due date for lodgment.
The proposed Instrument will be a Legislative Instrument for the purposes of the Legislative Instruments Act 2003 and it is legally binding on the Commissioner of Taxation (“the Commissioner”)
Date of effect
The Instrument applies to the financial year ended 30 June 2007 or approved period in lieu and is effective from the day after it is registered.
What is this Instrument about:
The principal purpose of the Instrument is for lodgment of income tax and regulatory returns in accordance with section 161 of the Income Tax Assessment Act 1936 and section 36A of the Superannuation Industry (Supervision) Act 1993 for an income year by specifying who is required to lodge and to stipulate the date they are required to lodge. In practice, the Instrument establishes baseline dates for lodgment of returns which can be deferred by the Commissioner’s discretion under s 388-55 of Schedule 1 to the Taxation Administration Act 1953 for example the deferred due date for returns lodged under the tax agent lodgment program.
What is the effect of this Instrument:
The effect of this Instrument is that taxpayers have clear guidance of their obligations to lodge returns in the approved form and the date by which they must be lodged and the penalty that may be applied for failure to lodge on time.
Background:
Since the commencement of the Income Tax Assessment Act 1936, section 161 of that Act refers to the requirement to lodge an annual return. Every person must, if required by the Commissioner, give to the Commissioner a return for a year of income within the period specified in the notice.
Each year the Commissioner publishes a notice that sets out the requirements of certain taxpayers to lodge returns and the date by which they must be lodged. It also identifies classes of taxpayers who are not required to lodge a return.
The notice defines a ‘person’ and in tables sets out in detail, the requirements of a ‘person’ to lodge a return, as well as supplementary information such as the requirement for lodgment in the approved form and the penalties that may be applied for failing to lodge the return on time.
Consultation:
There has been no consultation in relation to this Instrument. This is a machinery provision and a requirement of section 161 of the Income Tax Assessment Act 1936 and Section 36A of the Superannuation Industry (Supervision Act) 1993 and it is a long standing practice to publish the due dates for lodgment of returns for each financial year and who must lodge them.
Michael D’Ascenzo
Commissioner of Taxation
21 June 2007
Overview
F2007L01886, enacted in 2007, is a legislative instrument designed to streamline the process of lodgment of income tax and regulatory returns for the financial year ended 30 June 2007. This Instrument was introduced to address the need for clear and legally binding guidelines on the timing and requirements for lodging annual returns in accordance with the Income Tax Assessment Act 1936 and the Superannuation Industry (Supervision) Act 1993. The Australian Government, through the Commissioner of Taxation, established this Instrument to provide taxpayers with precise information regarding their obligations to lodge returns in the approved form and the specific due dates for lodgment, ensuring compliance and clarity in tax obligations. This legislative measure helps to prevent potential penalties for late or non-compliance by providing a definitive framework for taxpayers to follow.
Scope and Application
The F2007L01886 Instrument, titled "Lodgment of returns in accordance with the Income Tax Assessment Act 1936, the Income Tax Assessment Act 1997, the Taxation Administration Act 1953, the Superannuation Industry (Supervision) Act 1993 and The Income Tax (Transitional Provisions) Act 1997 for the year of income ended 30 June 2007 Explanatory Statement," is a legally binding legislative instrument under the Legislative Instruments Act 2003. It specifies who is required to lodge an annual tax return, in the approved form, and sets the due date for lodgment. The Commissioner of Taxation, who is bound by this Instrument, is responsible for ensuring compliance. The scope of the Instrument extends to taxpayers and entities governed under the mentioned Acts, mandating them to lodge their returns by the specified date. This includes individuals and entities required to submit tax returns for the financial year ending on 30 June 2007. The Instrument's jurisdictional reach is within the Commonwealth, as it pertains to the administration of federal tax laws. It does not introduce new obligations but clarifies existing requirements under the relevant Acts, providing clear guidance on lodgment obligations and potential penalties for non-compliance. There are no exclusions or exemptions specified within the text of the Instrument itself, although certain classes of taxpayers may not be required to lodge a return as defined by the Commissioner.
Key Provisions
This legislation, F2007L01886, sets out the requirements for the lodgment of returns in accordance with various Australian tax Acts for the financial year ending 30 June 2007. It specifies who is required to lodge an annual return in the approved form and the due date for such lodgment. The main operative sections of the legislation are section 161 of the Income Tax Assessment Act 1936, section 36A of the Superannuation Industry (Supervision) Act 1993, and section 388-55 of Schedule 1 to the Taxation Administration Act 1953. These sections collectively outline the responsibilities of taxpayers, the acceptable forms of returns, and the specified due dates.
The obligations imposed by this legislation are primarily on taxpayers and tax agents. Every person who is required to lodge a return must do so in the approved form within the specified period, which is determined by the Commissioner of Taxation. The Commissioner has the authority to defer due dates for certain taxpayers, such as those participating in the tax agent lodgment program, under section 388-55 of Schedule 1 to the Taxation Administration Act 1953. Additionally, taxpayers must ensure that their returns are complete and accurate to comply with the requirements set out in the annual notice published by the Commissioner.
Failure to comply with the requirements of this legislation can result in penalties. Under section 161 of the Income Tax Assessment Act 1936, a penalty may be imposed for not lodging a return on time. The penalties can vary depending on the circumstances, including whether the failure to lodge is considered negligent or intentional. The Commissioner also has the discretion to remit penalties in certain situations, such as where the failure to lodge was due to reasonable circumstances beyond the control of the taxpayer. The consequences of non-compliance can be significant, including financial penalties and potential legal action by the Commissioner.