Notice of Withdrawal of Rulings 30 October 2025

Overview

The Commissioner of Taxation has issued a notice under the Taxation Administration Act 1953 to withdraw Taxation Ruling TR 2022/1, which provided guidance on the effective life of depreciating assets applicable from 1 July 2022. This withdrawal is effective from 31 October 2025. The notice was issued on 30 October 2025 by the Commissioner, Rob Heferen, and is available for review on the Australian Taxation Office website. This withdrawal is a formal action taken under the legislative framework to amend or remove existing tax guidance, potentially in response to changes in tax law or policy, to ensure that taxpayers have up-to-date and relevant information for compliance and planning purposes.

Scope and Application

The notice provided under the Taxation Administration Act 1953 by the Commissioner of Taxation, Rob Heferen, pertains to the withdrawal of Taxation Ruling TR 2022/1, which addresses the effective life of depreciating assets and was applicable from 1 July 2022. This notifiable instrument signifies that the specified ruling will no longer be in effect from 31 October 2025, thus impacting entities and individuals who previously relied on this ruling for their tax assessments and calculations. The withdrawal of this ruling affects those within the Commonwealth jurisdiction of Australia, encompassing all relevant taxpayers, including individuals, businesses, and entities subject to income tax regulations. This notice extends to the entire nation, applying uniformly across all states and territories within the Australian federation. There are no stated exclusions or exemptions mentioned in the notice, implying that the withdrawal applies broadly to all who were previously guided by Taxation Ruling TR 2022/1.

Key Provisions

The main operative sections of this notifiable instrument (F2025N00859) involve the withdrawal of Taxation Ruling TR 2022/1 concerning the effective life of depreciating assets, as specified under subsection 358-20(1) of Schedule 1 to the Taxation Administration Act 1953. This ruling, which was applicable from 1 July 2022, will be withdrawn with effect from 31 October 2025. The notice of withdrawal is issued by the Commissioner of Taxation, Rob Heferen, and is intended to inform the public of the change in tax guidance on the effective life of depreciating assets. The notice specifies that copies of the withdrawn ruling can be obtained from the ATO website, atto.gov.au/law. The obligations imposed by this legislation on the parties and entities it governs include the requirement to cease relying on Taxation Ruling TR 2022/1 for determining the effective life of depreciating assets after the withdrawal date of 31 October 2025. Taxpayers and tax agents must ensure that they are aware of the withdrawal and adjust their tax practices accordingly. This includes reviewing any tax positions that were based on the withdrawn ruling to determine if they need to be revised or adjusted in light of the withdrawal. The Commissioner's notice serves as a formal notification that the previously applicable guidance is no longer in effect. Any breach of the obligations under this notifiable instrument may result in civil or criminal consequences. For instance, if taxpayers continue to rely on the withdrawn Taxation Ruling TR 2022/1 after the effective date of withdrawal, they may be subject to penalties for non-compliance. The maximum penalties for non-compliance with taxation laws can include fines and imprisonment, depending on the nature and severity of the breach. Additionally, any resulting tax shortfalls due to incorrect application of the withdrawn ruling may lead to further financial liabilities, including interest and penalties imposed by the Commissioner of Taxation.