Taxation Administration Act 2001

Subject to subsections (2) and (5), a reassessment of a taxpayer’s liability for tax must be made in accordance with the legal interpretations and assessment practices applied by the commissioner for assessing liability for tax in similar circumstances when the original assessment of the taxpayer’s liability for tax was made.

If any legislative change made after an original assessment is made affects the legal interpretations and assessment practices to be applied under subsection (1), the reassessment must, to the extent that the interpretations and practices are changed because of the legislative change, be made in accordance with the changed interpretations and practices.

The commissioner’s decision about what constituted the commissioner’s legal interpretations and assessment practices is a non-reviewable decision.

Subsection (5) applies if—

a court or QCAT makes a decision (the original decision) affecting the legal interpretations applied by the commissioner for assessing a taxpayer’s liability for tax; and

on appeal, the original decision is changed in whole or part.

For any assessment made after the original decision but before the appeal is decided, the commissioner may make a reassessment to increase a taxpayer’s liability for tax in accordance with the appeal decision.