ACCT2331 Chapter Notes - Chapter 9,48: Australian Business Number, International Taxation, Financial Transaction
Document Summary
[48. 1] introduction (page 1096: australia"s tax system is underpinned by the following identification and payment systems, tfn system, abn system, payg system. In addition, the "financial transaction reporting regime" assists in the administration and enforcement of the tax laws. Abns, otherwise persons who make payments to them are generally required to withhold tax at the top tax rate: gst-registered entities must quote their abns on tax invoices. Payg withholding regime: payg withholding regime contained in part 2-5 of. "size" of the withholding entity: payees are entitled to credits for amounts withheld under the payg rules. Payg instalment regime: payg instalment regime contained in part 2-10 of. Sch 1 taa: progressively collects tax over the income year, payg instalments may be based on, taxpayer"s "gdp-adjusted notional tax, taxpayer"s estimate of its "benchmark tax, taxpayer"s "instalment income" Instalments paid result in a credit against the taxpayer"s actual tax liability.
