Commonwealth Numbered Acts

SALES TAX ASSESSMENT ACT 1992 No. 114, 1992 - SECT 93

93.(1) A taxpayer obtains a tax benefit under a scheme to which this Division
applies that has been entered into or carried out by a person or persons
(whether or not the taxpayer) if:

   (a)  the taxpayer has obtained a tax benefit that:

        (i)    the taxpayer would not have obtained if the scheme had not been
               entered into or carried out; or

        (ii)   the taxpayer could reasonably be expected not to have obtained
               if the scheme had not been entered into or carried out (taking
               into account, among other relevant matters, any things that did
               not actually happen but could reasonably be expected to have
               happened if the scheme had not been entered into or carried
               out); and

   (b)  having regard to the matters set out in subsection (2), it would be
        concluded that the scheme was entered into, or carried out, by all or
        any of the parties for the purpose or dominant purpose of obtaining a
        tax benefit for any person (whether or not that person is the taxpayer
        and whether or not that person is one of the parties).

(2) For the purposes of paragraph (1)(b), the matters to have regard to are:

   (a)  the manner in which the scheme was entered into or carried out;

   (b)  the form and substance of the scheme;

   (c)  the time at which the scheme was entered into and the length of the
        period during which the scheme was carried out;

   (d)  the result in relation to the operation of the sales tax law that, but
        for this Division, would be achieved by the scheme;

   (e)  any change in the financial position of the taxpayer that has
        resulted, or may reasonably be expected to result, from the scheme;

   (f)  any change in the financial position of any person who has, or has
        had, any connection (whether of a business, family or other nature)
        with the taxpayer, being a change that has resulted, will result or
        may reasonably be expected to result, from the scheme;

   (g)  any other consequence for the taxpayer, or for any person referred to
        in paragraph (f), of the scheme having been entered into or carried
        out;

   (h)  the nature of any connection (whether of a business, family or other
        nature) between the taxpayer and any person referred to in paragraph
        (f); but the matters do not include the actual purpose for which any
        person entered into or carried out the scheme.

(3) This Division applies to:

   (a)  a scheme that was entered into after 26 May 1992; or

   (b)  a scheme that began to be carried out after 26 May 1992 (not including
        a scheme that was entered into on or before 26 May 1992).

(4) In this section:

"carrying out" includes carrying out together with one or more other persons;

"dominant purpose", in relation to several purposes, means a purpose that is
dominant when compared to all the remaining purposes taken together;

"scheme" includes:

   (a)  an arrangement that is not legally enforceable;

   (b)  a course of conduct;

   (c)  a unilateral scheme or course of conduct;

"tax benefit" means:

   (a)  any reduction in liability to tax; or

   (b)  any increase in an entitlement to a credit.