A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 35.5 Entitlement to refund

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 35.5

  (1)   If the * assessed net amount for a tax period is less than zero, the Commissioner must, on behalf of the Commonwealth, pay that amount (expressed as a positive amount) to you.

Note 1:   See Division   3A of Part   IIB of the Taxation Administration Act 1953 for the rules about how the Commissioner must pay you. Division   3 of Part   IIB allows the Commissioner to apply the amount owing as a credit against tax debts that you owe to the Commonwealth.

Note 2:   Interest is payable under the Taxation (Interest on Overpayments and Early Payments) Act 1983 if the Commissioner is late in refunding the amount.

  (2)   However, if:

  (a)   the Commissioner amends the * assessment of your * net amount; and

  (b)   your * assessed net amount before the amendment was less than zero; and

  (c)   the amount that, because of the assessment, was:

  (i)   paid; or

  (ii)   applied under the Taxation Administration Act 1953 ;

    exceeded the amount (including a nil amount) that would have been payable or applicable had your assessed net amount always been the later assessed net amount;

the amount of the excess is to be treated as if:

  (d)   the excess were an assessed net amount for the tax period; and

  (e)   that assessed net amount were an amount greater than zero and equal to the amount of the excess; and

  (f)   despite Division   33, that assessed net amount became payable, and due for payment, by you at the time when the amount was paid or applied.

Note:   Treating the excess as if it were an assessed net amount has the effect of applying the collection and recovery rules in Part   3 - 10 and Divisions   268 and 269 in Schedule   1 to the Taxation Administration Act 1953 , such as a liability to pay the general interest charge under section   105 - 80 in that Schedule.