Additional Records for Taxation

Additional Records for Taxation is found in section 51 of the Taxation Administration Act 1997. It is an offence for a person who fails to keep additional records for tax purposes despite having received a written notice from the Tax Commissioner instructing the person to do so.

Have you been accused of Additional Records for Taxation?

additional records for tax
Interview
It is in your best interests to not answer any of the investigator’s questions without first calling us to seek some initial advice about how to conduct yourself during the interview. A number of complicated questions may be put to you from an ATO officer trained in interrogation. They ask questions in a way to highlight inconsistencies.

A time will come later where you can explain your version of events or raise a defence against any charges filed. The interview is not the appropriate time or place unless you have received careful legal advice.

Pleading Not Guilty
Not every allegation is true and charges are often laid against innocent parties. It is not a simple process to contest a complex taxation allegation such as this. You may have defences available to you which need to be explored and can advanced with the assistance of accountants.

Our lawyers are experts in all areas of criminal law and have the expertise that will ensure you the best chance of successfully defending the charges levelled against you.

Pleading Guilty
You want to receive the fairest possible financial penalty if you plead guilty to a charge of Additional Records for Taxation. Our lawyers make pleas in mitigation to the Court every day. It is important to tell the Court your explanation that puts the offending in context and details your other achievements or positive characteristics. Our lawyers will listen to your instructions and craft plea submissions on your behalf.

Which court will the case be heard in?
This is a charge regularly heard in the Magistrates’ Court.

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.

“Did you keep a record for tax purposes?”

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.
Legislation
The section that covers this offence is section 51 of the Taxation Administration Act 1997.

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.
Defences
  • 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 for section 51 of the Taxation Administration Act 1997
The maximum penalty for Additional Records for Taxation (s51 of the Taxation Administraction Act 1997) is 500 penalty units ($77,730) in the case of a body corporate and 100 penalty units ($15,546) in any other case.

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

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