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Reportable tax position schedule
Introduction
The purpose of this guidance material is to update many of the definitions and processes for making reportable tax
position (RTP) disclosures, both on the schedule and using the early disclosure mechanism.
Defining a reportable tax position
A reportable tax position is a position that is any of the following:
a. material position that is about as likely to be correct as incorrect or less likely to be correct than incorrect
b. material position in respect of which uncertainty about taxes payable or recoverable is recognised and/or
disclosed in the taxpayer's or a related party's financial statements
c. position in respect of a reportable transaction.
Background and rationale
The RTP schedule will allow large businesses to disclose their most contestable and material tax positions. Introducing
the schedule supports our effort to provide faster and clearer tax law advice and review our largest business taxpayers'
activities.
For the 2011-12 income year, where a taxpayer has been advised that they are required to lodge the RTP schedule,
they must provide their disclosures to us in writing in an acceptable form. In addition to completing the schedule, other
acceptable forms for disclosing RTPs in the year for which they are current include:
an Annual Compliance Arrangement (ACA)
an Advance Pricing Arrangement (APA)
in a private ruling application
have been the subject of an early reportable tax position disclosure.
Early (pre lodgment) reporting of disclosures may be made on a RTP Early Disclosure form that will be available on our
website before 23 December 2011.
We will use the schedule and early disclosures to help us:
provide faster assurance to these large businesses about their material contestable tax positions by encouraging
them to request private rulings
identify issues to address using public rulings
identify tax risk for large businesses faster and understand them better.
The draft schedule and early disclosure form
There have been no further changes to the draft schedule. The version that appears on our website remains current.
The content and/or design of the schedule however remains subject to change until Tax Time 2012 publications are
made available.
You can download the Draft RTP schedule in Portable Document Format (PDF, 20KB).
Early disclosure
A RTP can be disclosed to the Commissioner prior to lodgment, and therefore does not have to be disclosed again in
the schedule, where the disclosure:
is in writing
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in a form determined by the Commissioner, and
receipt of such disclosure has been acknowledged in writing by the Commissioner.
Early disclosure mechanism
A downloadable form (RTP Early Disclosure form) will be made available on our website before 23 December 2011 and
the form and instructions will be co-located with the private ruling application information. A draft of the form is available
for you as guidance.
The draft Reportable tax position early disclosure form (PDF, 36KB) is available for you as guidance.
Using RTP disclosures
We will use RTP disclosures to:
better understand tax risk for taxpayers, industries and the large market
further refine our Risk Differentiation Framework risk ratings to enhance the risk-based choices we make to
prioritise LB&I work
enhance our dialogue with large businesses about their risk ratings and corporate governance
identify areas of uncertainty in the tax law that may require
law clarification and/or legislative improvements
further administrative guidance by us
help us focus our compliance activities at the risk level, the taxpayer level and industry level.
Feedback
If you have any feedback on the guidance material, email us at [email protected]
This information is for guidance only and can change until the final version of the schedule and the instructions to the
schedule are made available with Tax Time 2012 publications on our website.
Updated RTP information
Application
The schedule is a schedule to the company tax return. It applies to income years starting on or after 1 July 2011.
For the 2011-12 income year, the schedule will not apply to adopted accounting periods that end before 30 June 2012.
For example, it will not apply to income years ending on 31 December 2011 in lieu of the following 30 June 2012.
Initially, the schedule will only apply to taxpayers we have written to and advised they must lodge it. For the 2011-12
income year, the taxpayers notified are part of the largest economic groups. These are large market business taxpayers
included in higher consequence taxpayer categories1 under the Large Business Risk Differentiation Framework.
Taxpayers that have entered into an ACA for the current income year will not have to complete the schedule.
Notifying taxpayers
We have written to those taxpayers that are required to lodge the schedule for the 2011-12 income year.
Those taxpayers with adopted accounting periods ending 31 December 2012 in lieu of 30 June 2013 will be notified in
writing before 31 December 2011 of their requirement to lodge the RTP schedule.
Definitions
Defining a reportable tax position
A reportable tax position is a position that is any of the following:
a. material position that is about as likely to be correct as incorrect or less likely to be correct than incorrect
b. material position in respect of which uncertainty about taxes payable or recoverable is recognised and/or
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disclosed in the taxpayer's or a related party's financial statements
c. position in respect of a reportable transaction.
Position
Position means the basis for lodgment in the current income tax return in respect of a particular circumstance(s),
arrangement(s) or transaction(s).
The taxpayer's basis for lodgment of the income tax return is the effect for taxation purposes given to the particular
circumstance(s), arrangement(s) or transaction(s) as reflected in the statements made in the income tax return.
The same or related circumstances, arrangements or transactions are to be treated as one position.
For paragraph (a) positions, where the facts of multiple circumstances, arrangements or transactions are such that they
share a common basis for lodgment that is about as likely to be correct as incorrect or less likely to be correct than
incorrect these are to be treated as one position.
For paragraph (b) positions, whether multiple circumstances, arrangements or transactions are to be treated as one
position will depend on the approach taken by the taxpayer or a related party to recognise and/or disclose uncertainty
about taxes payable or recoverable in their financial statements, in accordance with the Australian Accounting
Standards.
Further guidance on paragraph (c) positions is explained in paragraph (c) definitions below.
Materiality for the Schedule
Note - An omission or misstatement is generally considered to be material in the preparation of financial
statements if the impact on current tax is between 5%-10%. We have adopted this approach in setting
materiality at 5% of current income tax expense but have also introduced threshold amounts. These have been
adopted to ensure that significant positions are not excluded by very high materiality calculations for some
taxpayers and also to ensure that insignificant positions are not included by very low materiality calculations for
other taxpayers. Current tax expense is also an appropriate measure given that, in contrast to total income tax
expense, it excludes deferred tax expense.
A position is material if the potential adjustment is equal to or exceeds the lesser of:
$30 million, or
5% of the taxpayer's Australian current tax expense.
If 5% of the taxpayer's Australian current tax expense is $3 million or less, the position is material if the potential
adjustment is equal to or exceeds $3 million.
Potential adjustment means the sum of the following amounts arising in the relevant income year, should the position
not be sustained:
a. the taxpayer's tax rate2 multiplied by an amount or part of an amount that would be included in the assessable
income of the taxpayer;
b. the taxpayer's tax rate multiplied by a deduction or a part of a deduction that would not be allowable to the
taxpayer;
c. the taxpayer's tax rate multiplied by a capital loss or a part of that capital loss that would not be incurred by the
taxpayer;
d. a foreign income tax offset that would not be allowable to the taxpayer;
e. a tax offset that would not be allowable to the taxpayer.
Where the taxpayer prepares financial statements for the relevant income year, Australian current tax expense is current
tax expense calculated in accordance with AASB 112 Income Taxes in respect of the relevant income year. Where the
taxpayer is a tax consolidated or a multiple entry consolidated (MEC) group and prepares financial statements for the
relevant income year, Australian current tax expense is the aggregate of the current tax expense of all members of the
group calculated in accordance with AASB 112 Income Taxes in respect of the relevant income year.
Taxpayers are required to calculate Australian current tax expense having regard to Australian Accounting Standards.
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Where significant work is required to calculate Australian current tax expense, or where the taxpayer considers that the
materiality threshold as calculated above is not appropriate to their circumstances, it is recommended that the taxpayer
estimates their Australian current tax expense and this estimate is discussed and agreed with us. Taxpayers may also
calculate their Australian current tax expense with the assistance of an independent financial auditor. Alternatively,
where a taxpayer does not wish to calculate their Australian current tax expense, the taxpayer may apply $3 million as
their materiality threshold.
The term financial statement is explained in paragraph (b) definitions below.
Paragraph (a): about as likely to be correct as incorrect or less likely to be correct than
incorrect
A material position comes within paragraph (a) and must be disclosed on the schedule, if it would be concluded in the
circumstances, having regard to relevant authorities, that what is argued for is about as likely to be correct as incorrect,
or less likely to be correct than incorrect.
A material position does not come within paragraph (a) and does not have to be disclosed on the schedule, if it would be
concluded in the circumstances, having regard to relevant authorities, that what is argued for is more likely to be correct
than incorrect.
Requirement to take reasonable care
A taxpayer must take reasonable care in completing the schedule. This requires the taxpayer to take the same care that
could be expected of a reasonable person in their position (as outlined in MT 2008/1).
Concepts interpreted in accordance with MT 2008/2
The concepts 'about as likely to be correct as incorrect', 'more likely to be correct than incorrect', and 'relevant
authorities' are to be interpreted in accordance with the approaches outlined in MT 2008/2.
General administrative practices
In deciding whether a material position is to be disclosed regard can be had to PS LA 2011/27 Matters the
Commissioner considers when determining whether the Australian Taxation Office (ATO) view of the law should only be
applied prospectively; and in TD 2011/19 Tax administration: what is a general administrative practice for the purposes
of protection from administrative penalties and interest charges?
Where a taxpayer follows in full a public ruling, a private ruling, or administrative binding advice that directly applies to
them and the position they are adopting, they will not have to disclose the tax position.
If a taxpayer thinks that a general administrative practice exists, but there is no public or private ruling or administrative
binding advice that directly applies to them and the position they are adopting, then the position must be disclosed. The
taxpayer should include a sentence in the concise description that states that they consider that the position conforms to
a general administrative practice. The taxpayer may want to refer to any industry documents that support the industry
view as well as our materials they consider support the application of a general administrative practice in the 'basis for
position' column of the schedule or early disclosure.
Commissioner's discretion including the application of anti avoidance provisions
In respect of the exercise of a Commissioner's discretion or the application of anti avoidance provisions, in determining
whether a material position is to be disclosed on the schedule, further regard can be had to PS LA 2005/24: Application
of General Anti-Avoidance Rules, subsection 284-15(2) of Schedule 1 to the Taxation Administration Act 1953 (TAA)
and the Explanatory Memorandum to A New Tax System (Tax Administration) Bill (No 2) 2000 at paragraph 1.29.
Where a material position may involve the exercise of a Commissioner's discretion or consideration of the application of
the anti avoidance provisions, in the absence of seeking a private ruling or the views of the Commissioner, the position
should be disclosed on the schedule where it is about as likely to be correct as incorrect or less likely to be correct than
incorrect.
Transfer pricing
A material transfer pricing position should be disclosed where it is about as likely to be correct as incorrect, or less likely
to be correct than incorrect, unless it is covered by an existing APA (or documented in a formal APA application that has
been accepted into the APA Program). Note that this exemption applies only to the related party transactions covered by
the final APA or formal APA application.
The requirement to take reasonable care involves an expectation that a taxpayer will have regard to relevant authorities.
In this case maintaining processes and documentation as appropriate to the taxpayer's circumstances is required.
Regard can be had to TR 98/11 Income tax: documentation and practical issues associated with setting and reviewing
transfer pricing in international dealings for guidance as to the processes and documentation which should be
maintained.
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Market value
Where a material position involves a market value or values, in the absence of seeking a private ruling or the views of
the Commissioner, the position should be disclosed where the market value(s) used or applied is about as likely to be
correct as incorrect or less likely to be correct than incorrect.
Market valuation for tax purposes is available on our website and provides guidance in determining such things as the
appropriate valuation methodology, documentation and allocations amongst assets.
Paragraph (b): uncertainty about taxes payable or recoverable is recognised and / or
disclosed in the taxpayer's or a related party's financial statements
A position comes within paragraph (b) and must be disclosed where it is a material position in respect of which
uncertainty about taxes payable or recoverable is recognised and/or disclosed in the taxpayer's or a related party's
financial statements.
Uncertainty about taxes payable or recoverable will exist, for example, where there is a difference between the
taxpayer's position and the measurement and/or recognition of the taxes payable or recoverable in respect of that
position as adopted in the taxpayer's or related party's financial statements.
Taxes payable or recoverable exist where an income tax-related provision, current tax liability (asset) and/or contingent
liability (asset) is recognised or disclosed in accordance with AASB 112 Income Taxes and/or AASB 137 Provisions,
Contingent Liabilities and Contingent Assets in the taxpayer's or related party's financial statements for the first time in
the relevant income year.
Where an income tax-related provision, current tax liability (asset) and/or contingent liability (asset) was recognised or
disclosed in the taxpayer's or related party's financial statements in a prior income year, taxes payable or recoverable
will exist where the recognition or disclosure of that item has increased in the taxpayer's or related party's financial
statements in the relevant income year.3
Recognition, measurement and disclosure are to be given the meanings used under Australian accounting standards.
Financial statements are the documents that constitute the financial statements or consolidated financial statements
prepared in accordance with Australian Accounting Standards and includes the financial reports prepared by the
taxpayer pursuant to Chapter 2M of the Corporations Act.
Where the taxpayer is a foreign resident operating through an Australian branch, financial statements are the statements
(however described) that cover the activities of the Australian operations. Where the taxpayer is a foreign bank branch,
financial statements include the reports prepared for submission to the Australian Prudential Regulation Authority that
cover the activities of the Australian operations.
A related party is an entity that is related to another entity as defined in paragraph 9 of AASB 124 Related Party
Disclosures.
A related party's financial statements may apply where the taxpayer does not prepare financial statements, or where the
uncertainty about taxes payable or recoverable or the reportable transaction in respect of a position is recognised or
disclosed in the financial statements of a related party, rather than the taxpayer. It is expected that where a taxpayer has
prepared consolidated financial statements in accordance with AASB 127 Consolidated and Separate Financial
Statements, these would be the relevant financial statements to be used for the purposes of paragraph (b) and
paragraph (c).
Where there are multiple sets of financial statements that may be relevant for a taxpayer, the financial statements that
apply are those that recognise or disclose the uncertainty about taxes payable or recoverable or the reportable
transaction for the relevant entity to which the position relates.
Paragraph (c): a position in respect of a reportable transaction.
A reportable transaction may involve related events, related parties and/or related transactions or arrangements.
A transaction or arrangement will be a reportable transaction under paragraph (c) and must be disclosed on the
schedule if, as a result of the transaction or arrangement:
1.
the aggregated capital proceeds from the transaction or arrangement exceed A$200 million; and
2.
at least one CGT event happens to the taxpayer or their CGT asset during the current income year; and
3.
any of the following apply:
(i) the amount of the capital gain the taxpayer makes from the CGT event (before disregarding an amount which
may not be included in the calculation of its net capital gain or net capital loss) is less than 50% of the profit (if
any) recognised in the taxpayer's or a related party's financial statements in respect of that CGT event, or
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(ii) the amount of the capital loss the taxpayer makes from the CGT event (before disregarding an amount which
may not be included in the calculation of its net capital gain or net capital loss) is more than 50% of any loss
recognised in the taxpayer's or a related party's financial statements in respect of that CGT event, or
(iii) the taxpayer makes a capital loss from the CGT event (before disregarding an amount which may not be
included in the calculation of its net capital gain or net capital loss) and no loss is recognised in the taxpayer's or
a related party's financial statements in respect of that CGT event; and
4.
the difference between the capital gain or capital loss (as appropriate) and the relevant amounts recognised in
the financial statements referred to in paragraph (3) above is material, or alternatively, the sum of all these
differences is material.
Meaning of certain terms
The terms 'CGT event', 'capital proceeds' and 'capital gain' take their meaning from Division 995 of Part 6-5 of the ITAA
1997.
The term 'profit' means the total of income less expenses arising as a result of the transaction determined in accordance
with Australian Accounting Standards and applicable Statements of Accounting Concepts.
In determining whether the aggregated capital proceeds exceed the threshold amount of $200 million, related events
must be considered. For example:
One million shares in a company are disposed with proceeds of $250 per share. The aggregated capital
proceeds from the transaction are $250 million
The assets of a business are disposed. The combined capital proceeds from the disposal of all the assets are
$300 million. Whilst the capital proceeds do not exceed $200 million for any individual asset, the aggregated
capital proceeds are $300 million.
Similar or related transactions and / or arrangements are to be treated as one transaction. The following are examples of
similar or related transactions or arrangements that are to be treated as one transaction:
1.
2.
3.
4.
5.
Transactions or arrangements that are commercially connected in that it is unlikely that one would be entered
into without the other.
Transactions or arrangements that depend for their effect or operation on the effect or operation of other
transactions or arrangements.
Transactions or arrangements that complement or supplement the effect and / or operation of each other.
Transactions or arrangements containing an element of facilitation, for example where the first entity makes a
decision to sell its business and the second entity acts in a facilitation capacity by acquiring the business and onselling that business to an unrelated third entity. The transactions or arrangements between the first and second
entities and between the second and third entities or any combination thereof are related.
Transactions or arrangements which include an agreement which effectively results in different rights and
obligations attaching to shares exchanged when compared to the original shares, for example ordinary shares
are exchanged for convertible ordinary shares.
Disclosure requirements
The schedule is part of the company income tax return and requires identifying details, including:
name of entity
tax file number
Australian business number.
Taxpayers must provide a response even if they have no positions to be disclosed. If they do have one or more
positions to disclose they must complete all of the relevant sections of the table. A version of the schedule will be able to
be downloaded from our website. The schedule will accept up to 500 words in each box.
Taxpayers must provide the following for each tax position they disclose:
RTP number - Number the RTPs sequentially for identification purposes only (for example, 2012-1, 2012-2).
A concise description of the facts or, 'what happened' - In the concise description, for each position the
taxpayer must provide an outline of the relevant facts that explain the position, including the relevant
circumstances, arrangement and / or transaction(s) of the position. The explanation must include sufficient detail
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so that a reasonable person can understand what happened or did not happen to give rise to the position.
The basis for the position or 'the tax treatment decision' - In the basis for position, for each position the
taxpayer must concisely outline the tax treatment of the position taken in the relevant income tax return,
including any references to the relevant case law, legislative provisions and/or ATO view. In completing the
schedule, the taxpayer is not required to disclose any advice or opinions of their professional adviser or their own
about the income tax treatment of the position. Nor is the taxpayer required to disclose the existence or content
of any such advice.
Related party involved - this is a Yes/No question to establish whether the tax position they have taken is in
relation to a related party transaction.
Type of position involved - that is, a statement whether the tax position taken is reportable under paragraph
(a), (b) and/or (c) of the definition of reportable tax position.
Example 1
Full facts:
AusCo is an Australian investment company. For many years it has invested in the share market with an average
turnover of about 10% of the value of the total portfolio, maintaining a consistent yield on its capital invested in
shareholding in Australian companies. AusCo had no particular exit strategy and treated these sales as the realisation of
investments and on capital account.
During the relevant income year in order to refinance their loans following from liquidity problems, AusCo sold 30% of its
shares. These shares were growth shares as opposed to value shares and were sold at an overall loss. AusCo decides
to treat the losses as arising from an isolated transaction and on revenue account.
AusCo concludes that this treatment is about as likely to be correct as incorrect.
The RTP as it would appear in the schedule:
Reportable tax position schedule
RTP
number
Concise description
Basis for position
Related party Type of
position
involved
2012-1
Liquidity issues led to
refinancing loans, which led to
AusCo selling significantly
more shares (both in number
and value) during the income
year than in previous years.
The shares were sold at loss.
Loss on sale of shares was on revenue
account and deductible under section 8-1
ITAA 1997.
No
A
London Australia Investment Co Ltd v. F C
of T (1977) 138 CLR 106;
AGC (Investments) Limited v. FC of T 92
ATC 4239;
Trent Investments Pty Ltd v. FC of T 76
ATC 4105
TR 92/3 Income tax: whether profits on
isolated transactions are income
TR 2005/23 Income tax: listed investment
companies
TD 2011/21 Income tax: does it follow
merely from the fact that an investment
has been made by a trustee that any gain
or loss from the investment will be on
capital account for tax purposes?
Example 2
Full facts:
AusCo is an Australian company that is not a member of a tax consolidated group. During the relevant income year all of
the shares in AusCo were sold to unrelated parties resulting in AusCo failing the continuity of ownership test. The new
shareholders also introduced significant changes in AusCo's operations. AusCo decides to write off a material long term
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receivable as unrecoverable and 'bad'.
AusCo concludes that it is about as likely to be correct as incorrect that it has satisfied the same business test and is
entitled to treat the bad debt write off as deductible.
The RTP as it would appear in the schedule:
Reportable tax position schedule
RTP number Concise description
Basis for position
Related party Type of
involved
position
2012-2
The bad debt write off was treated as
deductible under section 25-35 ITAA
1997.
No
During the income year all of
the shares in AusCo were
sold. After the change in
ownership, there were
changes in AusCo's
operations and a material
long term receivable was
written off.
A
TR 92/18 Income Tax: Bad Debts
Dinshaw v. Bombay Commissioner of
Taxes (1934) 50 TLR 527
Example 3
Full facts:
On 1 June 2012, new income tax legislation took effect that allowed taxpayers to claim a deduction in certain
circumstances. Due to uncertainty in relation to the application of the new law, the ATO commenced consultation with
taxpayers following the enactment of the new provisions. A number of issues were raised by taxpayers in consultation
with the ATO, including issues surrounding the requirements for claiming the deduction. These were noted for
consideration by the ATO.
AusCo is the head company of a tax consolidated group and must lodge its 2012 income tax return on 15 January 2013.
At the time of preparation and lodgment of its income tax return, issues surrounding the requirements for claiming the
deduction remain unresolved and consultation with the ATO was still in progress. AusCo prepares and lodges its 2012
tax return on the basis that the deduction is available to the company in that year. AusCo's audited consolidated
financial statements for the 2012 financial year recognise a provision representing the additional amount of tax payable
in the event that AusCo's deduction is not allowed.
The RTP as it would appear in the schedule:
Reportable tax position schedule
RTP
number
Concise description
Basis for position
Related party Type of
involved
position
2012-3
Deduction claimed under
Section [Insert new Section number] ITAA No
newly enacted Division [Insert 1997
new Division number].
B
Application of the new law is
unclear and consultation with
us is still in progress.
Example 4
Full facts:
Scrip for scrip rollover - Subdivision 124-M
An Australian company (H Co) owned all of the shares in an Australian subsidiary (S Co). The shares had a CGT cost
base and original cost of $100 million and a market value of $350 million.
In August 2011 H Co disposed all of the S Co shares to an unrelated company (F Co). In consideration for the disposal,
a company in the F Co group issued shares to H Co with a market value of $350 million.
H Co chose scrip for scrip roll-over relief and disregarded all of the capital gain of $250 million arising on the disposal of
the S Co shares.
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H Co recognised a profit of $250 million on the disposal of S Co shares in its financial statements for the year ended
30 June 2012 reflecting the difference between the sale proceeds for the shares and their original cost.
The transaction results in a difference between accounting profit and taxable income of $250 million.
The RTP as it would appear in the schedule:
Reportable tax position schedule
RTP number
Concise description
Basis for position
Related
party
involved
Type of
position
2012-4
H Co wholly owned an Australian
subsidiary, S Co. The shares in the S Co
had a historic cost and CGT cost base of
$100m and market value of $350m.
Scrip for scrip roll-over was
chosen and resulted in the
capital gain on disposal
being disregarded
Yes
C
In August 2011, H Co sold all the shares
S Co to F Co, an unrelated company in
exchange for shares in a subsidiary of
F Co.
H Co chose scrip for scrip roll-over and
disregarded the capital gain of $250m on
the disposal of the S Co shares.
H Co recognised a profit of $250m on the
disposal of the S Co shares in its financial
statement for the year ended 30 June
2012.
The transaction resulted in a difference
between accounting profit and taxable
income of $250m.
Consultation details
We are interested in your feedback. Feedback on reportable tax position requirements can be directed to:
[email protected]
1 Higher
consequence taxpayers are those in our 'higher risk' or 'key taxpayer' categories. We notify these taxpayers of
the classification we have applied. The classifications are used to determine the level of intensity of involvement we
expect to have in reviewing the taxpayer's compliance. To determine categories we look at:
2 The
taxpayer past compliance behaviour
taxpayer tax risk management governance
taxpayer business performance over time compared to the tax outcomes of the business and that of peers
issues identified by our specialist areas and intelligence gathering, particularly in regard to significant
transactions that allow for opportunistic tax planning, such as a material merger, acquisition or disposal
intelligence from our industry segments on industry performance and its relationship to tax risks including
patterns and trends in tax performance
intelligence from overseas tax administrations and from the Joint International Tax Shelter Information Centre
(JITSIC)
intelligence from other government agencies such as the Australian Securities and Investments Commission
(ASIC) and publicly available information
risks arising out of the implementation of new tax law
taxpayer level of international dealings and the tax outcomes derived from such dealings over time and
compared to the functions performed, assets used and risks accepted.
applicable tax rate as specified in the Income Tax Rates Act 1986
3 Where a prior year income tax-related provision, current tax liability (asset) and/or contingent liability (asset) arises
again in the relevant income year in respect of a recurring position, disclosure may also be required under paragraph (a)
if the requirements under that paragraph are satisfied for that position in the relevant income year.
Last Modified: Friday, 30 September 2011
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Our commitment to you
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and entitlements and meet your obligations.
If you follow our information and it turns out to be incorrect, or it is misleading and you make a mistake as a result, we
will take that into account when determining what action, if any, we should take.
Some of the information on this website applies to a specific financial year. This is clearly marked. Make sure you have
the information for the right year before making decisions based on that information.
If you feel that our information does not fully cover your circumstances, or you are unsure how it applies to you, contact
us or seek professional advice.
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Reportable tax position
schedule
2012
DRAFT – FOR DISCUSSION PURPOSES ONLY
Print neatly in BLOCK LETTERS with a black or blue ballpoint pen only. Do not use correction fluid or tape.
HOW TO COMPLETE THIS FORM
Refer to How to complete your reportable tax positions schedule 2012, available on our website
www.ato.gov.au for instructions on how to complete this schedule.
1
This schedule forms part of the tax return of:
Name of entity
*Tax file number
Australian business number
Section A: Reportable tax positions
2
Did you have any reportable tax positions (RTPs) for the 2011-2012 income year?
No A
Yes B
Provide the following information for each RTP and list in accordance with the
instructions.
Schedule of RTPs
RTP
number
Concise description
Basis for position
* Tax File Number Privacy: The Tax Office is authorised by the Taxation
Administration Act 1953 to request you to quote your TFN. It is not an offence not to
quote your Tax File Number; however, not quoting the number can delay assessment
of the return.
Related
party
involved
This is page 1 of
IN-CONFIDENCE – when completed
Type of
position
pages.
Release date: June 2011
DRAFT – FOR DISCUSSION PURPOSES ONLY
Section A: Reportable tax positions
2
Schedule of RTPs (continued)
Schedule of RTPs
RTP
number
Concise description
Basis for position
Related
party
involved
Type of
position
Important
Before making this declaration check to ensure that all required information has been disclosed and is true and
correct in every detail. If you are in doubt about any aspect of the tax return, place all the facts before the ATO. The
income tax law imposes heavy penalties for false or misleading statements in tax returns. This declaration must be
signed by the public officer. For further information refer to the instruction guide.
Section B: Taxpayer’s declaration
3 Declaration
I declare that the information on this schedule is true and correct.
Day
Date
Signature
Contact person
Month
/
Year
/
Daytime contact number (include area code)
How to lodge your schedule
Send your completed schedule to:
Australian Taxation Office
GPO Box 9845
IN YOUR CAPITAL CITY
This is page
IN-CONFIDENCE – when completed
of
pages.
Release date: June 2011
Reportable tax position
early disclosure form
DRAFT – FOR INFORMATION ONLY
Use this form to disclose a reportable tax position (RTP) prior to lodging your company tax
return.
For help in completing this form see How to lodge a reportable tax position early disclosure
form on www.ato.gov.au
Section A: Details of the entity making the disclosure
1
Provide the name of the entity making the disclosure
A disclosure form for a reportable tax position only applies to the entity named in the form
and to the particular reportable tax position disclosed in that form.
DATE OF
LODGMENT
Name
2
Please provide your tax file number (TFN)
You are not obliged to quote a TFN, but matching your early disclosure to your return
lodgment may be delayed if you do not.
Your relationship to the entity
(for example – public officer)
TFN
Section B: Contact details
3
Who is the contact person for this form?
(Include title, full name and name of organisation)
4
Contact’s daytime telephone number (include area code)
5
Contact’s email address (if available)
UNCLASSIFIED
PAGE 1 OF 3
UNCLASSIFIED
6
REPORTABLE TAX POSITION EARLY DISCLOSURE FORM
Address for the acknowledgement of the lodgment of the RTP early disclosure
form
Street address or PO
Box
Suburb or town
State or Territory
Postcode
Section C: Reportable tax position disclosure
Only one reportable tax position can be disclosed on a RTP early disclosure form.
7
Facts describing the reportable tax position
Give a concise description of the circumstances, arrangement or transaction. Include all
relevant facts. The explanation must include sufficient detail so that a reasonable person can
understand what happened or did not happen to give rise to the reportable tax position.
This field expands as you type.
8
The basis for your position
Concisely outline the treatment of the position you will take in your relevant income tax return.
You are not required to disclose any advice or opinions about the income tax treatment of the
reportable tax position. Please include the relevant authorities on which you have relied.
This field expands as you type.
9 Is there a related party involved?
Yes
No
10 To which paragraph of the RTP definition does this
reportable tax position relate? (A, B or C)
Please check that you have answered all the questions before submitting your early
disclosure form to ensure that proper disclosure is made.
UNCLASSIFIED
PAGE 2 OF 3
UNCLASSIFIED
REPORTABLE TAX POSITION EARLY DISCLOSURE FORM
Section E: Declaration and signature
Declaration
By lodging this form you are declaring that the information contained in this document is true
and correct.
‘You’ refers to the public officer or company director of the entity named in the form
Please sign and date if you are sending via fax or post or delivering by hand.
Name
Signature
Date
How to lodge this form
You can lodge this form via the Business Portal, or by fax, post or by hand delivery to the
Tax Office.
The business portal
If you lodge via the Business Portal, you will receive an instant receipt and your application will
be actioned faster than if lodged via post.
If you are lodging by fax or post, use the following fax number or postal address:
Large Business and
International
UNCLASSIFIED
Fax
1300 661 106
Post
Australian Taxation Office
LB&I Provision of Advice
PO Box 377
Albury NSW 2640
PAGE 3 OF 3