Taxation Administration Act 1953 (Cth) s290-50: s 290-50 Civil penalties for promoting a tax exploitation scheme

An entity must not engage in conduct that results in that or another entity being a promoter of a tax exploitation scheme, and must not engage in conduct that results in a scheme promoted on the basis of conformity with a product ruling being implemented in a materially different way from that described in the ruling (s 290-50(1), (2)). On application by the Commissioner, the Federal Court may order a civil penalty against an entity it is satisfied has contravened either rule, up to the greater of 5,000 penalty units (individual) or 25,000 penalty units (body corporate) and multiples of the consideration received or receivable for the conduct (s 290-50(3), (4)).