Are investment schemes required to withhold TFN tax (no tax file number quoted) where the distributions are tax deferred (Capital)?
A. Tax file number withholding is not required if the distribution consists only of tax deferred amounts, even if the investor did not quote their tax file number. However, tax file number withholding is required if the payment consists not only of tax deferred amounts but also of ordinary or statutory income and the investor did not quote their tax file number.
