Commonwealth Consolidated Acts

TRUST RECOUPMENT TAX ASSESSMENT ACT 1985 - SECT 10

  (1)   Where:

  (a)   the persons included in an eligible beneficiaries class are jointly and severally liable to pay trust recoupment tax on a secondary taxable amount; and

  (b)   a person included in that eligible beneficiaries class has paid any of that trust recoupment tax;

the person referred to in paragraph   ( b) may, in a court of competent jurisdiction, recover by way of contribution and as a debt from any of the other persons included in the class such part of the amount paid as the court considers just and equitable.

  (2)   Where proceedings against a person under Part   4 - 15 in Schedule   1 to the Taxation Administration Act 1953 for recovery of any trust recoupment tax payable on a secondary taxable amount are instituted in any court, the court may:

  (a)   on the application of the person, join, as co - defendant or as co - defendants in the proceedings, a specified person or specified persons who are included in the eligible beneficiaries class in relation to the secondary taxable amount; and

  (b)   having regard to:

  (i)   the amount or value of any benefit that each co - defendant has derived, or might reasonably be expected to derive, being a benefit to which subsection   6(4) applies in relation to the person concerned in relation to the secondary taxable amount; and

  (ii)   any other relevant circumstances;

    determine, on just and equitable grounds, the respective proportions of the amount of the trust recoupment tax that the co - defendants are liable to pay.

  (3)   In this section trust recoupment tax includes late payment tax and penalty tax.