177 Taxpayer may request financial relief

(1)

A taxpayer, or a person on a taxpayer’s behalf, requests financial relief by either—

(a)

making a claim stating why recovery of the taxpayer’s outstanding tax or a relief company’s outstanding tax would place the taxpayer, being a natural person, in serious hardship; or

(b)

requesting to enter into an instalment arrangement with the Commissioner.

(1B)

For the purposes of this section, the Commissioner must consider the taxpayer’s financial position at the date on which the request for financial relief is made.

(2)

The Commissioner may require a taxpayer, or a person on a taxpayer’s behalf, to request financial relief under subsection (1)(a) by notice.

(3)

Upon receiving a request, the Commissioner may—

(a)

accept the taxpayer’s request; or

(b)

seek further information from the taxpayer; or

(c)

make a counter offer; or

(d)

decline the taxpayer’s request.

(4)

A taxpayer has 20 working days, or a longer period allowed by the Commissioner, to provide the information sought or to respond to a counter offer.

(5)

If the Commissioner receives information or a response from a taxpayer outside the time period allowed under subsection (4), the receipt of the information or the response will be treated as a new request for financial relief.

Section 177: replaced, on 17 October 2002, by section 92(1) of the Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 (2002 No 32).

Section 177 heading: amended, on 2 June 2016, by section 174(1) of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).

Section 177(1): amended, on 2 June 2016, by section 174(2) of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).

Section 177(1)(a): amended, on 30 June 2014, by section 178(1) of the Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 (2014 No 39).

Section 177(1)(b): amended, on 2 June 2016, by section 174(3) of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).

Section 177(1B): replaced, on 30 June 2014, by section 178(2) of the Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 (2014 No 39).

Section 177(1B): amended, on 2 June 2016, by section 174(4) of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).

Section 177(2): amended, on 2 June 2016, by section 174(5) of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).

Section 177(2): amended, on 1 April 2005 (effective for 2005–06 tax year and later tax years, except when the context requires otherwise), by section YA 2 of the Income Tax Act 2004 (2004 No 35).