Payment of Tax Withholdings at the Commissioner of Taxation's Direction

Last amended: 22 July 2013

Commissioner of Taxation may direct DVA to withhold amounts related to tax liabilities

The Commissioner of Taxation is given the discretion in the Taxation Administration Act 1953 to require DVA to withhold money from instalments of pension to pay an amount owing to the Commissioner of Taxation.

DVA to comply with Commissioner of Taxation's request

The VEA stipulates that Commission must comply with notices issued under Subdivision 260-A in Schedule 1 to the Taxation Administration Act 1953 by:

• withholding money that is due or accruing to the debtor, or which is held for or on account of the debtor, and
• paying the withheld amount to the Commissioner of Taxation.

Reasons why the Commissioner of Taxation can request deductions

The Commissioner of Taxation may request withholdings for the following reasons:

• penalty for unpaid taxes,
• annual assessment of tax payable,
• amendment of a tax assessment, or
• a fine or costs imposed by the Commissioner of Taxation for an offence under the Income Tax Assessment Act or associated legislation.

Amount of taxation withholdings

The amount of withholding is decided by the Commissioner of Taxation. If a pensioner has any queries regarding the amount of withholding, they should be advised to contact the Australian Taxation Office.