A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 162.195 Reduction in penalties if notified instalment amount is less than 25% of annual GST liability

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 162.195

  (1)   This section reduces your * GST instalment shortfall, for a * GST instalment quarter of an * instalment tax period applying to you, if:

  (a)   you are liable to pay a penalty under section   162 - 175 or 162 - 180 for a * GST instalment quarter of an * instalment tax period applying to you; and

  (b)   for that or any other GST instalment quarter of an * instalment tax period:

  (i)   you have a * notified instalment amount that is less than 25% of your * annual GST liability for the instalment tax period; or

  (ii)   you do not have a notified instalment amount, but the Commissioner is satisfied that, if you had such a notified instalment amount, it would be less than 25% of your annual GST liability for the instalment tax period.

  (2)   The * GST instalment shortfall is reduced by the amount worked out as follows:

where:

"notified and other amounts" is the sum of:

  (a)   the * notified instalment amount, or, if you do not have a notified instalment amount for the * GST instalment quarter, the amount that the Commissioner is satisfied would have otherwise been that notified instalment amount; and

  (b)   for each of the earlier GST instalment quarters (if any) of the * instalment tax period in question:

  (i)   the notified instalment amount; or

  (ii)   if you do not have a notified instalment amount for the * GST instalment quarter--the amount that the Commissioner is satisfied would have otherwise been that notified instalment amount; and

  (c)   if the instalment tax period is only part of a * financial year--your * early net amounts for the financial year (subtracting any of those amounts that are less than zero).

  (3)   If, because of the reduction, your * GST instalment shortfall for the * GST instalment quarter is zero or less than zero, you are not liable to pay a penalty under section   162 - 175 or 162 - 180 (as the case requires) in relation to the GST instalment quarter.

  (4)   If both this section and section   162 - 200 apply to a particular * GST instalment shortfall, apply this section to the shortfall before applying section   162 - 200.