Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) An * AMIT for an income year has a shortfall under this subsection for the income year equal to the amount (if any) by which:
(a) an * under of the AMIT of a character relating to assessable income in the income year for an earlier income year (the base year ) (as worked out by the trustee on the basis of the trustee's knowledge at the discovery time mentioned in subsection 276 - 345(2));
falls short of:
(b) what the under would have been if it had been worked out on the basis of what the trustee should have known at that time.
Liability to tax
(2) The trustee is liable to pay income tax at the rate declared by the Parliament on the amount that is the sum of each shortfall of the * AMIT under subsection (1) for the income year.
Note: The rate is set out in subsection 12(13) of the Income Tax Rates Act 1986 .
Adjustment for later unders relating to the same base year
(3) If there is a shortfall under subsection (1) for a particular character for an income year, for the purposes of applying paragraph 276 - 345(3)(b) (base year running balance) to a later income year, increase the amount mentioned in subparagraph 276 - 345(3)(b)(ii) (previous discovery year amount) for that character by the amount of the shortfall.
(4) Subsection (5) applies if:
(a) there is a shortfall under subsection (1) for a particular character for an income year; and
(b) the * AMIT has an * under of that character in a later income year for the base year mentioned in subsection (1); and
(c) the amount mentioned in paragraph (1)(b) is reflected (in whole or in part) in the amount of the under.
(5) Reduce the shortfall by the extent to which the * under in the later income year reflects the amount mentioned in paragraph (1)(b).