The ATO Thur 31.1.2013, released Practice Statement PS LA 2013/1 outlining the guidelines to be followed by tax officers preparing statements of reasons pursuant to s 13 of the Administrative Decisions (Judicial Review) Act 1997 (ADJR Act).
The Practice Statement states that s 13 imposes an obligation on decision makers in the ATO to provide a written statement of reasons in relation to certain decisions. The purpose of giving reasons is to enable the person affected by a decision to see what considerations were taken, or not taken into account, and to encourage that person to consider and identify the reasons which motivated the decision.
According to the PS LA, there is no entitlement to a statement of reasons unless the requirements of s 13(1) are satisfied, which are, it has to be a decision to which s 13 applies, and the person requesting the statement must be a person who is entitled to make an application to the Federal Court or the Federal Circuit Court under s 5 for review of the decision.
The PS LA outlines the reasons why a request for a statement of reasons may be declined, as well as the time limits for requesting the statement. It also contains a sample template for statement of reasons as well as a checklist of factors for ATO officers to consider in preparing a s 13 statement.
[LTN 20, 31/1/13]