Can an office holder divert payment of their remuneration to a third party?
How the fee determined by the Remuneration Tribunal for an office is actually paid is a matter between the paying agency or authority and the office holder. If the payer is uncertain of whether the office holder’s preferred method of payment affects taxation obligations, he or she should seek the advice of the Australian Taxation Office. It should be noted that the amount of the fee determined by the Tribunal is inclusive of any taxation obligation. The Tribunal, in determining remuneration for holders of public office, understands that: • the holder of a public office (which in the Remuneration Tribunal context includes any office for which the Tribunal determines remuneration) is the individual who is appointed to that office; and • the individual holding the office has an entitlement to the remuneration determined by the Tribunal, and in performing the functions of that office the office holder earns that remuneration.
