A.6.1 This appendix first provides a summary of the finalisation of applications for review of Tax Office decisions in the Taxation Division of the Administrative Appeals Tribunal over an eight year period. The appendix also provides a comparison between the General and Veterans Division and Taxation Division within the Administrative Appeals Tribunal with respect to the finalisation of applications for review by way of consent and hearing.

A.6.2 In this appendix, the terms used are defined as follows:

  • 'Affirmed' indicates that the Tribunal has affirmed a decision under review. This means that the original Tax Office decision still stands.
  • 'Dismissed/Withdrawn' indicates that an application by a taxpayer has been dismissed by the Tribunal without proceeding to review the decision. An application may be dismissed, for example, by consent, or if the applicant fails to appear, or if the Tribunal is satisfied that the application is frivolous or vexatious.
  • 'Remitted' indicates that the Tribunal has set aside the Tax Office decision and sent it back (remitted it) to the original decision maker to be reconsidered in accordance with any directions or recommendations of the Tribunal.
  • 'Set Aside' indicates that the Tribunal has set aside a decision under review. The effect is that the Tribunal disagrees with the original Tax Office decision and makes a new decision.
  • 'Varied' indicates that the Tribunal has varied a decision under review. This means that the Tribunal changes or alters the original Tax Office decision.

A.6.3 Chart 1 outlines the resolution of application of review cases by way of resolution type. Percentages are based on eight year averages obtained from Administrative Appeal Tribunal Annual Reports.

Chart 1: Total applications for review of a Tax Office decision to the Taxation Division of the Administrative Appeals Tribunal

Chart 1: Total applications for review of a Tax Office decision to the Taxation Division of the Administrative Appeals Tribunal

A.6.4 The following four tables provide a comparison between the General and Veterans Division and Taxation Division within the Administrative Appeals Tribunal with respect to the finalisation of applications for review by way of consent and hearing.

By consent

General and Veterans Division
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
Mean Median
Affirmed (%) 3 3 4 5 5 7 7 8 5.25 5
Dismissed/
Withdrawn(1)
35 31 31 27 30 30 33 34 31.375 31
Set Aside 26 28 26 25 27 25 26 27 26.25 26
Varied 7 9 10 10 10 7 6 5 8 8
Taxation Division
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
Mean Median
Affirmed (%) 1 2 1 2 1 10 2.125 1
Dismissed/
Withdrawn
29 34 17 20 37 7 7 16 20.875 18.5
Set Aside 20 22 19 16 25 56 57 25 30 23.5
Varied 22 16 42 40 14 32 28 23 27.125 25.5

By hearing

General and Veterans Division
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
Mean Median
Affirmed (%) 12 13 13 15 11 14 16 14 13.5 13.5
Dismissed 3 3 3 4 2 3 2 2 2.75 3
No jurisdiction 1 1 1 1 1 0.625 1
Set Aside 8 8 8 8 9 9 7 6 7.875 8
Varied 1 1 1 2 1 1 1 1 1

(1) Includes matters dismissed under subsections 42A(1) and (1B) of the AAT Act and otherwise by operation of law.

(2) Includes matters dismissed under subsections 42A(2) (non appearance), 42A(4) (failure to show reviewable decision), 42A(5) (failure to comply with a direction of the Tribunal) and 42B(1) (frivolous or vexatious) of the AAT Act.

Taxation Division
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
Mean Median
Affirmed (%) 11 6 4 7 3 2 1 10 5.5 5
Dismissed 6 4 1 8 7 0 2 4 4 4
No jurisdiction 1 2 3 1 1 1 1
Set Aside 3 4 3 2 2 5 2.375 2.5
Varied 2 1 2 4 2 1.375 1.5

A.6.5 The following table provides information obtained from Administrative Appeal Tribunal Annual Reports regarding the number of applications for review finalised by hearing in the Taxation Division.

Number of applications for review finalised by hearing in the Taxation Division
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
Average percentage
of applications finalised
by resolution type
Affirmed 79 42 37 70 28 66 40 144 35.9
Set Aside 18 30 28 22 16 34 25 79 18.1
Varied 1 15 5 18 34 19 10 28 9.6
Remitted 7 3 7 1 0 5 0 4 2.3
Dismissed/
Withdrawn
40 26 11 76 58 15 62 66 25.4
No jurisdiction 4 13 22 2 10 9 34 10 8.7
Totals 149 129 110 189 146 148 171 331

A.6.6 The following four tables provide information obtained from the Tax Office regarding the finalisation of tax litigation in 2003/04.

Non-ATP Part IVC Litigation
Jurisdiction Favourable to the Tax Office Adverse to the Tax Office Partially Favourable Total
Small Taxation Claims Tribunal 15 0 3 18
Administrative Appeals Tribunal 36 7 12 55
Federal Court 17 5 1 23
Full Federal Court 4 3 3 10
High Court 3 1 0 4
Total 133 32 20 185
ATP Part IVC Litigation
Jurisdiction Favourable to the Tax Office Adverse to the Tax Office Partially Favourable Total
Small Taxation Claims Tribunal 0 0 0 0
Administrative Appeals Tribunal 0 1 0 1
Federal Court 4 1 0 5
Full Federal Court 2 0 0 2
High Court 0 0 0 0
Total 6 2 0 8
Part IVC Litigation — Courts
Jurisdiction Favourable to the Tax Office Adverse to the Tax Office Partially Favourable Total
Federal Court 21 6 1 28
Full Federal Court 6 3 3 12
High Court 3 1 0 4
Total 30 10 4 44
Part IVC Litigation — Tribunals
Jurisdiction Favourable to the Tax Office Adverse to the Tax Office Partially Favourable Total
Small Taxation Claims Tribunal 15 0 3 18
Administrative Appeals Tribunal 36 8 12 56
Total 51 8 15 74