{"id":"F2022L01194","name":"Taxation Administration Excluded Classes of Transactions and Entities for Third Party Reports on Shares and Units Determination 2022","slug":"taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":102634,"registerId":"commonwealth-F2022L01194-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"part","heading":"Name of instrument","content":"## 1 Name of instrument\n\nThis instrument is the Taxation Administration Excluded Classes of Transactions and Entities for Third Party Reports on Shares and Units Determination 2022.","sortOrder":0},{"sectionNumber":"2","sectionType":"part","heading":"Commencement","content":"## 2 Commencement\n\nThis instrument commences on 1 July 2017.","sortOrder":1},{"sectionNumber":"3","sectionType":"part","heading":"Classes of entities to which this instrument applies","content":"## 3 Classes of entities to which this instrument applies\n\nThis instrument applies to:\n\n(1) companies whose shares are listed for quotation in the official list of an Australian financial market;\n\n(2) trustees of a unit trust; and\n\n(3) trustees of a trust (other than a unit trust) who hold shares in a company or units in a unit trust to which one or more beneficiaries of the trust are absolutely entitled, in relation to transactions in an income year for which the trustee does not give the Commissioner of Taxation an income tax return.","sortOrder":2},{"sectionNumber":"4","sectionType":"part","heading":"Reporting exemptions","content":"## 4 Reporting exemptions\n\nThe classes of entities to which this instrument applies are not required to report about the following classes of transactions under section 396-55 of Schedule 1 to the TAA:\n\n(1) An entity to which this instrument applies is not required to provide information under table items 6 or 8 in relation to a transaction where:\n\n(a) the transaction relates to a share in a company that is listed for quotation in the official list of an Australian financial market; and\n\n(b) data in relation to transactions on that Australian financial market is not required to be delivered to the Australian Securities and Investments Commission under the market integrity rules.\n\n(2) A trustee of a unit trust is not required to provide information under table item 7 in relation to a transaction where, at the time of the transaction:\n\n(a) the unit trust has fewer than 10 beneficiaries; and\n\n(b) the total market value of the assets held by the trustee in the unit trust is less than $5 million.\n\n(3) A trustee of a trust (other than a unit trust) is not required to provide information under table item 8 in relation to a transaction:\n\n(a) where, at the time of the transaction:\n\n(i) the trustee is not required to hold an Australian financial services licence, within the meaning of section 761A of the Corporations Act 2001; and\n\n(ii) the total market value of the assets held by the trustee in all trusts of which it is a trustee is less than $5 million;\n\n(b) that relates to shares in a company that are not listed for quotation in the official list of an Australian financial market; or\n\n(c) where the trustee can reasonably expect that:\n\n(i) some other entity will include information about the transaction in a report given to the Commissioner of Taxation under table item 5, 6, 7 or 8 in section 396‑55 of Schedule 1 to the TAA; and\n\n(ii) that report will identify, as the owner of the shares or units, the entity that is absolutely entitled to them as a beneficiary of the trust.\n\n(4) An entity to which this instrument applies is not required to provide information under table items 6, 7 or 8 in relation to a transaction where any entity is required to provide information to the Commissioner in relation to the transaction under Division 392 of Schedule 1 to the TAA (which is about employee share schemes).\n\n(5) An entity to which this instrument applies is not required to provide information under table items 6, 7 or 8 where an investment is disposed of or purchased without the consent of the investor if, within the reporting period:\n\n(a) the transaction is reversed;\n\n(b) the investment is not disposed of at a loss to the investor; and\n\n(c) the investor has been notified of the transactions.\n\n(6) An entity to which this instrument applies is not required to provide information under table item 6 in relation to a transaction where the transaction relates to a share that is not listed for quotation in the official list of an Australian financial market.","sortOrder":3},{"sectionNumber":"5","sectionType":"part","heading":"Additional information","content":"## 5 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 covered by this instrument, together with other information that it is required to report under the TAA, if this creates administrative efficiencies.","sortOrder":4},{"sectionNumber":"6","sectionType":"part","heading":"Definitions","content":"## 6 Definitions\n\n(1) In this instrument:\n\n    Australian financial market means a financial market (within the meaning of Chapter 7 of the Corporations Act 2001) operating under an Australian market licence granted under subsection 795B(1) of that Act.\n    market integrity rules means rules made under section 798G of the Corporations Act 2001.\n\n(2) Terms in this instrument that are defined in the TAA have the same meaning as in the TAA.\n\nNote: Section 3AA of the TAA provides that an expression in Schedule 1 to the Act has the same meaning as in the Income Tax Assessment Act 1997.","sortOrder":5},{"sectionNumber":"7","sectionType":"part","heading":"Repeal","content":"## 7 Repeal\n\nThe instrument specified in Schedule 1 to this instrument is repealed.","sortOrder":6},{"sectionNumber":"Schedule 1","sectionType":"part","heading":null,"content":"# Schedule 1\n\nExcluded Classes of Transactions and Entities for Third Party Reports on Shares and Units Determination 2018 (F2018L00473)","sortOrder":7}],"analysis":{"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":true,"description":"This instrument repeals the 2018 instrument (Schedule 1) and sets out the exclusions that apply from 1 July 2017 (ss2,7). It therefore replaces the prior instrument’s regulatory text; the instrument itself does not contain a clause-by-clause comparison, so the exact nature and extent of any substantive changes relative to the 2018 instrument cannot be determined from this text alone."},"complexity_factors":["Cross‑references to Schedule 1 of the TAA and specific table items (table items 5–8) create dependency on external wording (see s4 and s3).","Multiple conditional exemptions with numerical thresholds: <$5 million total assets and fewer than 10 beneficiaries for unit trusts (s4(2)); <$5 million across all trusts for certain trustees (s4(3)(a)(ii)).","Distinction between listed and unlisted shares and reliance on market integrity rules and ASIC data delivery requirements (s4(1), Definitions in s6).","Interplay with other reporting regimes, notably Division 392 (employee share schemes), which removes duplicate reporting (s4(4)).","A reversal/notification exception where a transaction reversed, not at a loss, and investor notified avoids reporting (s4(5)).","Voluntary reporting is preserved (s5), so compliance choices remain for reporting entities.","Commencement date is backdated to 1 July 2017 (s2) and the instrument expressly repeals the 2018 instrument (s7 and Schedule 1), requiring attention to transition and historical reporting windows."],"plain_english_summary":"This instrument removes certain third‑party reporting obligations under section 396‑55 of Schedule 1 to the Taxation Administration Act 1953 for specific entities and transactions. It applies to companies with shares listed on an Australian financial market, trustees of unit trusts, and trustees holding shares/units for beneficiaries (s3), and sets conditional exemptions based on market listing, beneficiary counts, asset thresholds and overlapping reporting by other entities (s4). The practical effect is fewer mandatory reports to the Commissioner in those defined situations."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"This is a straightforward remake of the 2018 Determination (which is repealed by Schedule 1). The scope remains limited to carving out specific exemptions from third-party reporting obligations for shares and units. The 2022 version appears to maintain the same substantive exemptions without expansion into new areas."},"complexity_factors":["Multiple nested conditions in exemptions (e.g., subsection 4(3) has three alternative exemption pathways with sub-sub-conditions)","Cross-references to external legislation: Corporations Act 2001 (sections 761A, 795B, 798G), Taxation Administration Act (Schedule 1, sections 396-55, Division 392)","Defined terms rely on external statutory definitions ('Australian financial market', 'market integrity rules', 'Australian financial services licence')","Concept of 'absolutely entitled' beneficiaries — a technical trust law concept not defined in the instrument","Table item references (6, 7, 8) require knowledge of the parent TAA reporting regime structure","Retroactive commencement date (1 July 2017) creates temporal complexity regarding which version applies"],"plain_english_summary":"This instrument exempts certain listed companies, trustees of unit and other small trusts, and related parties from reporting share and unit transactions to the ATO. It removes reporting where market data already goes to ASIC, where trusts are small (limiting compliance burdens), where transactions are already reported (eg employee share schemes), or where trades are reversed or otherwise not economically consequential.\n\nIt reduces duplicate reporting and compliance costs for small or already-regulated entities."}},"importantCases":[],"_links":{"self":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha","history":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha/history","analysis":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha/analysis","conflicts":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha/conflicts","importantCases":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha/important-cases","documents":"/api/acts/taxation-administration-excluded-classes-of-transactions-and-entities-for-third-party-reports-on-sha/documents"}}