The ATO has issued a Decision Impact Statement in relation to the Full Federal Court's decision in Metlife Insurance Limited v FCT  FCAFC 167; 2008 ATC 20-049; (2008) 70 ATR 364. The case concerned whether the amendment of the taxpayer's deemed notice of assessment by a notice of amended assessment issued after the period of review would otherwise have expired, was an amendment made within the meaning of s 170(10AA) of the ITAA 1936, for the purpose of giving effect to s 104-10(3) of the ITAA 1997. The Full Court held that it was not.
The Commissioner states that he accepts the Full Federal Court's interpretation of subsection 170(10AA) of the ITAA 1936. The Commissioner's power to amend pursuant to s 170(10AA) item 30 (ss104-10(3)) of the ITAA 1936 is the subject of ATOID 2007/78: Capital Gains Tax: amendment of assessments to give effect to the timing rule. The view expressed in ATOID 2007/78 is contrary to the Court decision and the ATOID is to be withdrawn.
For a copy of the Decision Impact Statement, go here