Australia´s Administrative Review Tribunal Begins Operations

| Image Credits: "Old & New Parliament House, Canberra, ACT" by Brenden Ashton

The newly established Administrative Review Tribunal (ART) officially commenced on October 14, replacing the former Administrative Appeals Tribunal (AAT). This reform marks a significant development in the review of taxation decisions, providing individuals and businesses with a fresh opportunity to challenge rulings made, amongst others, by the Australian Taxation Office (ATO) and the Commissioner of Taxation.

REVIEWING TAXATION DECISIONS

The ART plays a central role in reviewing decisions related to taxation, operating under key legislative acts such as the Income Tax Assessment Act 1997, Customs Act 1901, and Customs Tariff Act 1995. The Tribunal’s jurisdiction allows it to examine a wide range of tax-related decisions, offering taxpayers an independent platform to appeal unfavorable outcomes.

However, it is important to note that the ART does not have authority over every government decision. For example, it cannot review decisions made under state or territory laws, local government decisions, or those governed by Norfolk Island laws.

Additionally, in some cases, a decision must first undergo an internal review or be reviewed by another body before it can be appealed to the Tribunal.

HOW TO APPLY FOR A REVIEW

Taxpayers who wish to challenge an ATO decision can apply for a review through the ART’s online application process. 

Applications must generally be submitted within 28 days of receiving the decision, and the standard application fee is $1,121.

Lower fees apply in certain circumstances. For instance, if the amount in dispute is less than $5,000, the fee can be reduced to $111. Small business entities disputing tax decisions may also benefit from a reduced fee of $602. It is crucial that applicants pay the fee when lodging their application, as the review will not commence until the fee is settled. Failure to pay the fee within six weeks could result in the dismissal of the case.

INFORMAL AND ACCESSIBLE REVIEW PROCESS

The ART's review process is designed to be accessible, allowing applicants to represent themselves without needing legal assistance. However, the Tribunal is committed to ensuring all individuals can fully participate, offering support such as interpreter services or other resources for those who may require additional help.

Once an application is lodged, the Tribunal will notify other relevant parties, such as the Commissioner of Taxation. If the applicant is representing themselves, the ART will typically reach out within six weeks to explain the process and provide any necessary assistance.

ART'S ROLE IN TAXATION DISPUTE RESOLUTION

The ART’s establishment represents a major shift in how taxation disputes are resolved, giving taxpayers an independent and impartial platform to seek justice. With its focus on fairness and accessibility, the Tribunal aims to resolve thousands of tax-related cases each year, reinforcing the right of individuals and businesses to have their tax disputes heard and reviewed.

This new body offers a critical avenue for challenging ATO decisions, ensuring greater accountability and transparency in Australia’s tax system.

SOURCE/RECOMMENDED READ: 

• New federal administrative review body commences | Administrative Review Tribunal (art.gov.au)