Clause 18

Where under any provision of this Act, the Minister may, upon the contravention of a provision of this Act or a term or condition of an approval, certificate or letter —

remove any activity, agreement, arrangement, product or other matter whatsoever from a certificate or letter; or

revoke any approval, certificate or letter,with effect from a date determined by the Minister, that date may be a date that is before the date on which notice of the removal or revocation is given (including a date before the date of contravention).(2) Without limiting any other powers of the Comptroller under this Act, where —

a tax incentive is, at the time of its application, validly applied to any income of a person derived on any date under this Act; and

due to subsequent circumstances, such application of the tax incentive ceases to be valid,the Comptroller may, subject to section 74 of the Income Tax Act 1947, make an assessment or additional assessment upon the person of an amount that appears to the Comptroller to be necessary to counteract any profit obtained by the person as a result of the application of the tax incentive ceasing to be valid.(3) For the purpose of subsection (2)(b), the subsequent circumstances include any of the following that occurs after the tax incentive is applied:

any grant of approval, or any certificate or letter, under which the tax incentive was validly applied, is revoked as from the date the income was derived, or the relevant expenditure was incurred (as the case may be) or any earlier date;

any activity, agreement, arrangement, product, or other matter whatsoever pursuant to whose inclusion in an approval, certificate or letter the tax incentive was validly applied, is removed from the approval, certificate or letter as from the date the income was derived, or the relevant expenditure was incurred (as the case may be) or any earlier date;

the tax incentive that was validly applied, being an exemption from tax, is substituted with a concessionary rate of tax as from the date the income was derived or any earlier date;

the tax incentive that was validly applied, being a concessionary rate of tax, is substituted with a higher concessionary rate of tax as from the date the income was derived or any earlier date.(4) Parts 17 and 18 of the Income Tax Act 1947 (relating to assessments, objections and appeals) and any rules made under that Act apply, with the necessary modifications, to an assessment or additional assessment under subsection (2) as if it were a notice of assessment under those Parts.(5) In this section —

a tax incentive is any of the following:

an exemption from tax;

a concessionary rate of tax;

a deduction or an allowance;

a tax incentive that is an exemption from tax is applied to a person’s income if any income of the person becomes exempt from tax;

a tax incentive that is a concessionary rate of tax is applied to a person’s income if tax is levied on any income of the person at that rate; and

a tax incentive that is a deduction or an allowance is applied to a person’s income if it is allowed or made for any expenditure in ascertaining the person’s chargeable income.(6) This section does not apply where section 35(3), 39(4), 40D(5)(b)(ii) or 40G(1) applies.”.