(4) The Commissioner may, without an application being made, issue a tax file number to a person whenever it is necessary to do so in connection with the performance of a function of the Commissioner under a law of the Commonwealth relating to taxation.
(5) The Commissioner shall issue a tax file number to a person by giving the person a written notice of the number.
(6) The Commissioner shall refuse an application for a tax file number by giving the applicant a written notice of the refusal and of the reasons for the refusal.
202BB Current tax file number
On the issue of a tax file number to a person, any tax file number previously issued to the person and not already cancelled or withdrawn ceases to have effect.
202BC Deemed refusal by Commissioner
(1) If the Commissioner has not decided an application for a tax file number within 28 days after the application is made, the applicant may, at any time, give to the Commissioner written notice that the applicant wishes to treat the application as having been refused.
(2) If in the application the applicant has stated the name and address of one or more payers of the applicant, subsection (1) does not apply at a particular time if at that time a notice has been issued to each such payer under section 202BD in relation to the applicant and each such notice is in force.
(3) For the purposes of Division 6, where an applicant gives notice under subsection (1), the Commissioner shall be taken to have refused the application for a tax file number on the day on which the notice was given.
202BD Interim notices
(1) Where an application for a tax file number states the name and address of a payer of the applicant, the Commissioner may give to the payer a notice under this section in relation to the applicant.
(2) The notice remains in force for the period of 28 days commencing on the day specified in the notice.
(3) The notice shall specify:
(a) the applicant’s name as shown in the application; and
(b) the last day of the period for which the notice remains in force.
(4) On giving the notice, the Commissioner shall inform the applicant that the notice has been given.
(5) The notice may be given to take effect on the expiration of a notice previously given to the payer under this section in relation to the applicant.
(6) Where, while an application for a tax file number is pending, the applicant notifies the Commissioner, in writing, of the name and address of a payer of the applicant (being a payer whose name and address is not stated on the application), the payer’s name and address shall, at the end of the period of 7 days after the notification, be taken to have been stated on the application.
202BE Cancellation of tax file numbers
(1) Where the Commissioner concludes that a tax file number was issued to a person under an identity that is not the person’s true identity, the Commissioner may, by written notice given to the person, cancel the tax file number.
(2) The Commissioner shall set out in the notice the reasons for the Commissioner’s conclusion.
202BF Alteration of tax file numbers
The Commissioner may, at any time, by written notice given to a person who has a tax file number:
(a) withdraw that number; and
(b) issue to the person a new tax file number in place of the withdrawn number.
Division 3—Quotation of tax file numbers by recipients of eligible PAYG payments
202C TFN declarations by recipients of eligible PAYG payments
(1) A person who is a recipient of a payer, or expects to become a recipient of a payer, may make a TFN declaration in relation to the payer.
(2) To be effective, the declaration must be made to the payer or the Commissioner, and must be made in the approved form.
202CA Operation of TFN declaration
(1) Subject to this Division, a TFN declaration commences to have effect when it is made.
Note: Under section 202CB, a TFN declaration is not effective unless the tax file number of the recipient is stated in the declaration.
(1A) A TFN declaration ceases to have effect when the recipient makes another TFN declaration in relation to the payer.
(1B) A TFN declaration ceases to have effect 12 months after it is made if no eligible PAYG payment is made by the payer to the recipient during that 12 month period.
(1C) If:
(a) the payer makes an eligible PAYG payment to the recipient after the TFN declaration is made; and
(b) a period of 12 months then elapses without any further eligible PAYG payment being made by the payer to the recipient;
then the TFN declaration ceases to have effect at the end of that period of 12 months.
(2) A TFN declaration to which a determination under subsection (3) applies ceases to have effect at the end of the day fixed by the determination.
(3) The Commissioner may, by legislative instrument, determine that:
(a) all TFN declarations; or
(b) a specified class of TFN declarations;
shall cease to have effect at the end of the day specified in the determination.
202CB Quotation of tax file number in TFN declaration
(1) Subject to subsections (2) and (4) and subsection 202CE(2), a TFN declaration is not effective for the purposes of this Part unless the tax file number of the recipient is stated in the declaration.
(2) For the purposes of this Part, a recipient is taken to have stated his or her tax file number in a TFN declaration if the declaration includes a statement:
(a) that an application by the recipient for a tax file number is pending; or
(b) that the recipient has a tax file number but does not know what it is and has asked the Commissioner to inform him or her of the number.
(3) Where:
(a) a TFN declaration includes such a statement; and
(b) the recipient who made the declaration fails to inform the payer of the recipient’s tax file number within 28 days after making the declaration;
subsection (2) does not apply to the declaration in respect of any time after the end of the period of 28 days.
(4) For the purposes of this Part, a recipient is taken to have stated his or her tax file number in a TFN declaration in relation to a payer while a notice under section 202BD given to the payer in relation to the recipient is in force.
(5) If:
(a) the tax file number of a recipient is withdrawn under section 202BF; and
(b) at the time of the withdrawal, the number is stated in a TFN declaration;
the declaration is taken to state the tax file number of the recipient in spite of the withdrawal of the number.
(6) Subsections (2) to (4) do not apply to a TFN declaration given to the Student Assistance Secretary, to the Employment Secretary or to the Chief Executive Centrelink:
(a) by a person who is an applicant for an austudy payment, a jobseeker payment or a youth allowance under the Social Security Act 1991; or
(aaa) by a person who is not a member of a couple and is an applicant for a parenting payment under the Social Security Act 1991; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, a payment referred to in paragraph (a).
Persons receiving benefits under Veterans’ Entitlements Act
(7) Subsections (2) to (4) do not apply to a TFN declaration given to the Veterans’ Affairs Secretary:
(a) by a person who is an applicant for a pension or allowance under the Veterans’ Entitlements Act 1986; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, a pension, veteran payment (within the meaning of that Act) or allowance under that Act.
Persons receiving benefits under Military Rehabilitation and Compensation Act
(8) Subsections (2) to (4) do not apply to a TFN declaration given to the Military Rehabilitation and Compensation Commission:
(a) by a person who is an applicant for compensation or an allowance under the Military Rehabilitation and Compensation Act 2004; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, such compensation or allowance.
202CC Making a replacement TFN declaration in place of an ineffective declaration
Nothing in this Division prevents a recipient making a new TFN declaration in place of a TFN declaration that is ineffective under subsection 202CB(1).
202CD Sending of TFN declaration to Commissioner
(1) Where a recipient gives a payer a TFN declaration, the payer shall:
(a) countersign the original of the declaration;
(b) within 14 days after the declaration is made, send the original to the office of a Deputy Commissioner; and
(c) retain the copy of the declaration in accordance with subsection (6).
Penalty: 10 penalty units.
(4) If:
(a) a TFN declaration, when given to a payer, does not quote the recipient’s tax file number; and
(b) before the payer sends the declaration to the Deputy Commissioner, the recipient informs the payer of the recipient’s tax file number;
the payer shall write the number on the declaration and on the copy.
Penalty: 10 penalty units.
(5) Where a tax file number has been written on a declaration under subsection (4), the declaration shall be regarded as stating that number as the tax file number of the recipient who made the declaration.
(5A) A payer who fails to comply with subsection (1) or (4) is liable to pay to the Commissioner a penalty of 10 penalty units.
Note 1: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.
Note 2: Division 298 in Schedule 1 to the Taxation Administration Act 1953 contains machinery provisions relating to civil penalties.
(6) The payer shall retain the copy of a TFN declaration until the second 1 July after the day on which the declaration ceases to have effect.
202CE Effect of incorrect quotation of tax file number
(1) If the Commissioner is satisfied:
(a) that the tax file number stated in a TFN declaration:
(i) has been cancelled or withdrawn since the declaration was given; or
(ii) is otherwise wrong; and
(b) that the recipient has a tax file number;
the Commissioner may give to the payer concerned written notice of the incorrect statement and the recipient’s tax file number.
(2) If a notice is given under subsection (1), the TFN declaration shall be regarded, for the purposes of this Part, as having always stated the recipient’s tax file number.
(3) If:
(a) the Commissioner is satisfied that the tax file number stated in a TFN declaration:
(i) has been cancelled since the declaration was given; or
(ii) is for any other reason not the recipient’s tax file number; and
(b) the Commissioner is not satisfied that the recipient has a tax file number;
the Commissioner may, by written notice given to the payer, inform the payer accordingly.
(4) A notice under subsection (3) takes effect on the day specified in the notice, being a day not earlier than the day on which a copy of the notice is given to the recipient under subsection (5).
(5) The Commissioner shall give a copy of any notice under subsection (3) to the recipient concerned, together with a written statement of the reasons for the decision to give the notice.
(6) On and from the day on which a notice under subsection (3) takes effect, the TFN declaration concerned shall be taken not to state the tax file number of the recipient concerned.
(7) Subsection (6) does not apply to a TFN declaration given to the Employment Secretary or to the Chief Executive Centrelink:
(a) by a person who is an applicant for an austudy payment, a jobseeker payment or a youth allowance under the Social Security Act 1991; or
(aaa) by a person who is not a member of a couple and is an applicant for a parenting payment under the Social Security Act 1991; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, a payment referred to in paragraph (a).
Persons receiving benefits under Veterans’ Entitlements Act
(8) Subsection (6) does not apply to a TFN declaration given to the Veterans’ Affairs Secretary:
(a) by a person who is an applicant for a pension or allowance under the Veterans’ Entitlements Act 1986; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, a pension, veteran payment (within the meaning of that Act) or allowance under that Act.
(9) Subsection (6) does not apply to a TFN declaration given to the Military Rehabilitation and Compensation Commission:
(a) by a person who is an applicant for compensation or an allowance under the Military Rehabilitation and Compensation Act 2004; or
(b) by a person who is a recipient for the purposes of this Part because the person receives, or expects to receive, such compensation or allowance.
202CEA Validation notices
(1) The Commissioner may give a payer a notice under subsection (2) if:
(a) the payer gives the Commissioner information that the payer believes to be:
(i) the full name, tax file number and date of birth of a person; or
(ii) the full name, tax file number, date of birth and address of a person; and
(b) the Commissioner is satisfied that:
(i) the person is a recipient of the payer; and
(ii) the recipient has made a TFN declaration in relation to the payer; and
(c) the Commissioner is satisfied, having regard to the information (if any) that the Commissioner has recorded for the tax file number given, that it is reasonable to give the notice.
(2) The notice must state whether or not the Commissioner is able to validate the information given.
(3) To avoid doubt, a notice that the Commissioner is not able to validate the information is not a notice under subsection 202CE(3).
(4) If a person states his or her tax file number in a TFN declaration in relation to the payer, the payer may use the tax file number in a manner connecting it with the person’s identity for the purpose of asking the Commissioner to validate information about the person under this section.
202CF Payer must notify Commissioner if no TFN declaration by recipient
(1) If, after the commencement of this section, a person (the payer) commences a relationship with another person under which, or as a result of which, the payer will make (or will be likely to make) eligible PAYG payments to a person (the recipient), whether or not the recipient is a party to the relationship, the payer must give notice to the Commissioner in the approved form, within 14 days after the commencement of the relationship, unless a TFN declaration made by the recipient to the payer is in effect at the end of that 14 day period.
(1A) However, subsection (1) does not apply if the recipient’s tax file number has been disclosed to the payer under section 202CG before the end of that 14 day period.
(2) If, at the commencement of this section, a person (the payer) has a relationship with another person under which, or as a result of which, the payer will make (or will be likely to make) eligible PAYG payments to a person (the recipient), whether or not the recipient is a party to the relationship, the payer must give notice to the Commissioner in the approved form, not later than 31 October 2000, unless a TFN declaration made by the recipient to the payer is in effect on 31 October 2000.
(3) A payer who fails to comply with subsection (1) or (2) is liable to pay to the Commissioner a penalty of 10 penalty units.
Note 1: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.
Note 2: Division 298 in Schedule 1 to the Taxation Administration Act 1953 contains machinery provisions relating to civil penalties.
202CG Disclosing recipients’ tax file numbers to payers
A taxation officer (within the meaning of the Income Tax Assessment Act 1997) may disclose a recipient’s tax file number to a payer of the recipient if:
(a) the recipient provided the number in a TFN declaration to the Commissioner in relation to the payer; or
(b) the recipient made a TFN declaration to the Commissioner in relation to the payer that included a statement referred to in subsection 202CB(2).
Division 4—Quotation of tax file numbers in connection with certain investments
202D Explanation of terms: investment, investor, investment body
(1A) This section:
(a) applies to a non‑share equity interest in the same way as it applies to a share; and
(b) applies to an equity holder in the same way as it applies to a shareholder.
(1) Investments of the kinds mentioned in column 1 of the following table are investments to which this Part applies, whether or not the investments come into existence before the commencement of this section.