Thomas Ritchie


In the taxation laws of Australia Part IVA of the Income Tax Assessment Act 1936 is the primary means by which the Commissioner punishes tax evasion schemes. The Commissioner has not been hesitant to attack partnerships.1 However, a consideration of the legislation and case law reveals major problems inherent in doing so. This article canvasses the basic problems the Commissioner faces when attacking partnerships under Part IVA, and suggests some simple solutions. It is concluded that Part IVA is the legally incorrect way to attack partnerships as tax evasion schemes.