{"id":"F2022L01557","name":"Taxation Administration: Classes of Electronic Payment System Transactions Exempt from Being Reported in Third Party Reports Determination 2022","slug":"taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":102903,"registerId":"commonwealth-F2022L01557-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1. Name of instrument","sectionType":"part","heading":"1. Name of instrument","content":"## 1. Name of instrument\n\nThis instrument is the Taxation Administration: Classes of Electronic Payment System Transactions Exempt from Being Reported in Third Party Reports Determination 2022.","sortOrder":0},{"sectionNumber":"2. Commencement","sectionType":"part","heading":"2. Commencement","content":"## 2. Commencement\n\nThis instrument commences on 1 July 2022.","sortOrder":1},{"sectionNumber":"3. Reporting exemptions","sectionType":"part","heading":"3. Reporting exemptions","content":"## 3. Reporting exemptions\n\n(1) An administrator of a payment system, within the meaning of the Payment Systems (Regulation) Act 1998, is not required to provide information to the Commissioner of Taxation under table item 9 in section 396-55 of Schedule 1 to the Taxation Administration Act 1953 (TAA) in relation to a transaction that is a payment:\n\n(a) initiated by another entity, where the other entity is required to provide information to the Commissioner in relation to the transaction under table item 9 in section 396-55 of Schedule 1 to the TAA;\n\n(b) made to a carriage service provider (within the meaning of the Telecommunications Act 1997);\n\n(c) made to a utility for the provision of electricity, water, sewerage, or gas;\n\n(d) made to a government related entity (within the meaning of section 195-1 of the A New Tax System (Goods and Services Tax) Act 1999);\n\n(e) made to a general insurer and received in the course of the insurer’s insurance business (within the meaning of the Insurance Act 1973);\n\n(f) made to a life insurer and received in the course of the insurer’s life insurance business (within the meaning of the Life Insurance Act 1995);\n\n(g) made to a private health insurer and received in the course of the insurer’s health insurance business (within the meaning of the Private Health Insurance (Prudential Supervision) Act 2015);\n\n(h) made to a superannuation fund, approved deposit fund, or pooled superannuation trust (within the meaning of the Superannuation Industry (Supervision) Act 1993) or RSA provider (within the meaning of the Retirement Savings Accounts Act 1997);\n\n(i) made by Direct Entry Direct Credit processed through the Bulk Electronic Clearing System governed by Australian Payments Network Limited;\n\n(j) processed by High Value Clearing System Framework Participants under the High Value Clearing System governed by Australian Payments Network Limited;\n\n(k) processed by New Payments Platform Participants governed by New Payments Platform Australia Limited, except where that payment:\n\n(i) is received by a payee under a PayTo Agreement;\n\n(ii) is a successful payment initiation; and\n\n(iii) is processed after 1 July 2022;\n\n(l) processed by New Payments Platform Participants governed by New Payments Platform Australia Limited, where the administrator reasonably believes that the same transaction has been reported to the Commissioner by another entity under a reporting requirement in Schedule 1 to the TAA;\n\n(m) processed by an administrator, where the payer, the payee and the administrator (which may be the payer, the payee, or neither) are all members of the same consolidated group (within the meaning of section 703-5 of the Income Tax Assessment Act 1997) and the same GST group (within the meaning of section 195-1 of the A New Tax System (Goods and Services Tax) Act 1999); or\n\n(n) made as a loan repayment, chattel mortgage repayment, hire purchase payment or finance lease payment.","sortOrder":2},{"sectionNumber":"4. Additional information","sectionType":"part","heading":"4. Additional information","content":"## 4. Additional information\n\nThis instrument does not prevent the reporting of information.\n\nNote: For example, an entity may wish to report on transactions that are exempted by this instrument, together with other information that it is required to report under the TAA, if it is administratively efficient to do so.","sortOrder":3},{"sectionNumber":"5. Repeal","sectionType":"part","heading":"5. Repeal","content":"## 5. Repeal\n\nThe instrument that is specified in Schedule 1 to this instrument is repealed.","sortOrder":4},{"sectionNumber":"Schedule 1","sectionType":"part","heading":null,"content":"# Schedule 1\n\nClasses of Electronic Payment System Transactions Exempt from Being Reported in Third Party Reports Determination 2021 (F2021L00278)","sortOrder":5}],"analysis":{"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"This instrument repeals the Classes of Electronic Payment System Transactions Exempt from Being Reported in Third Party Reports Determination 2021 (see Schedule 1) and replaces the exempt classes with the list set out at section 3. As a result, the scope of transactions that administrators need not report under table item 9 of section 396-55 of Schedule 1 to the TAA is now defined by the enumerated exemptions in this 2022 instrument, effective 1 July 2022."},"complexity_factors":["Enumerated exemption list in section 3(1)(a)–(n) requires administrators to identify and classify many distinct transaction types precisely.","Multiple external statutory references (Payment Systems (Regulation) Act 1998; Telecommunications Act 1997; A New Tax System (GST) Act 1999; Insurance Act 1973; Life Insurance Act 1995; Private Health Insurance (Prudential Supervision) Act 2015; Superannuation Industry (Supervision) Act 1993; Retirement Savings Accounts Act 1997; Income Tax Assessment Act 1997) increase interpretive and evidentiary burdens for administrators.","Discretionary standard in section 3(1)(l) — administrator 'reasonably believes' the same transaction has been reported by another entity — creates judgement calls and requires recordkeeping to support that belief.","New Payments Platform carve-out in section 3(1)(k) contains conditional sub-tests (PayTo Agreement; successful payment initiation; processed after 1 July 2022) that add transactional-timing and mechanism checks.","Group-membership exemption in section 3(1)(m) depends on consolidated group and GST group status (cross-references to ITAA 1997 s703-5 and GST Act s195-1), requiring corporate-structure verification.","Clearing-system and network-specific exemptions in sections 3(1)(i) and 3(1)(j) rely on Australian Payments Network operational arrangements, tying legal compliance to industry rules.","Section 4 allows voluntary reporting of exempt transactions, creating optional compliance paths and administrative-choice trade-offs (report to reduce duplication vs. avoid reporting burden).","Repeal of the 2021 Determination (Schedule 1) requires administrators to compare prior practice with the new enumerated classes to manage transition risk."],"plain_english_summary":"This instrument, commencing 1 July 2022, exempts specific classes of electronic payment transactions from administrators’ reporting obligation under table item 9 of section 396-55 of Schedule 1 to the Taxation Administration Act 1953. It mainly affects payment-system administrators who must classify transactions to decide when they need not report, reducing required reporting for listed payments while preserving the Commissioner’s ability to receive such data if an administrator chooses to report it."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"This instrument maintains the same scope as its predecessor (the 2021 Determination which it repeals). It continues the established pattern of exempting specific classes of electronic payment transactions from third-party reporting requirements. The exemptions are technical refinements to existing administrative arrangements rather than an expansion into new policy areas. The instrument remains tightly focused on its original purpose: specifying which payment system transactions need not be reported to the Commissioner."},"complexity_factors":["Multiple nested cross-references to other Acts (Payment Systems (Regulation) Act 1998, Telecommunications Act 1997, Insurance Act 1973, Life Insurance Act 1995, Private Health Insurance (Prudential Supervision) Act 2015, Superannuation Industry (Supervision) Act 1993, Retirement Savings Accounts Act 1997, Income Tax Assessment Act 1997, A New Tax System (Goods and Services Tax) Act 1999)","14 distinct exemption categories with varying specificity (some broad like 'utility payments', others highly technical like specific clearing systems)","Triple-nested sub-paragraph structure in exemption (k) requiring three cumulative conditions for the exception to the exemption","Technical financial terminology requiring industry knowledge (Direct Entry Direct Credit, Bulk Electronic Clearing System, High Value Clearing System Framework Participants, PayTo Agreement, consolidated group, GST group, chattel mortgage)","Conditional logic in exemption (l) requiring the administrator to form a 'reasonable belief' about reporting by another entity","Dual membership test in exemption (m) requiring entities to be in both the same consolidated group AND same GST group"],"plain_english_summary":"This law creates 14 specific exceptions to electronic payment reporting obligations, so administrators (banks, payment platforms and similar) don’t have to report certain routine or duplicate transactions to the ATO. It covers common flows—like utilities, insurers, government payments, superannuation, many NPP transfers and intra-group or bulk/clearing transactions—reducing compliance burden and duplicate reporting. Providers may still report these transactions voluntarily if preferred."}},"importantCases":[],"_links":{"self":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported","history":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported/history","analysis":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported/analysis","conflicts":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported/conflicts","importantCases":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported/important-cases","documents":"/api/acts/taxation-administration-classes-of-electronic-payment-system-transactions-exempt-from-being-reported/documents"}}