Additional Records for Taxation

– section 51 of the Taxation Administration Act 1997

Additional Records for Taxation is used when a person is given a written notice by the Tax Commissioner to keep additional records for tax purposes, and the person does not keep the additional records.

Examples of Additional Records for Taxation

• The Tax Commissioner gives you written notice that you must keep specific records for tax purposes, and you don’t keep the records. The Tax Commissioner later asks for those records, and you don’t have them.
• The Tax Commissioner gives you written notice to keep certain records. You keep the records, but then soon dispose of them because you need more storage space.

What are possible defences to an Additional Records for Taxation charge?

• The Tax Commissioner did not give written notice asking for records to be kept.
• You kept the required records.
• You lost the records, but you took reasonable precautions to prevent losing the records, and it was impossible to get a substitute records.

There are other possible defences, depending on the circumstances surrounding the alleged offending. Each matter is unique and requires an individual approach and strategy.

Questions in cases like this

• How do they prove that you had to keep a specific record?
• If your records were lost or destroyed, did you take reasonable precautions to prevent losing the records, and was it impossible to get substitute records?

Maximum penalty and Court that deals with Additional Records for Taxation

The maximum penalty for this offence is 500 penalty units ($77,730) in the case of a body corporate and 100 penalty units ($15,546) in any other case.

This is a charge regularly heard in the Magistrates’ Court.
 

“Did you keep a record for tax purposes?”

What is the legal definition of Additional Records for Taxation?

The legal definition of the charge of Additional Records for Taxation is when a person is given a written notice from the Tax Commissioner that they must keep specific additional records. The person then fails to keep the additional records.

Legislation

The section that covers this offence is section 51 of the Taxation Administration Act 1997.¹

Elements of the offence

The following are the elements of the offence of Additional Records for Taxation:

• The accused was required by a taxation law to keep a record or to cause a record to be kept.
• The accused was given a written notice by the Commissioner requiring them to keep, or to cause to be kept, additional records specified in the notice.
• The accused did not comply with the notice.

What can you be sentenced to for this charge?

A first offence for Additional Records for Taxation will likely mean a moderate fine.

Other Important Resources

• Taxation Administration: State Revue Office of Victoria

[1] Taxation Administration Act 1997 – Section 51