Section 304 - Liability of representative assessee

Representative assessee liable for tax with duties as if income is their own under income tax rules

A representative assessee is liable for income tax on behalf of the person represented, with duties and liabilities as if the income were beneficially theirs. Assessments and tax recovery are made in the representative's name but in a representative capacity. Such income cannot be assessed under other provisions for the same person. The tax authority may assess or recover tax directly from the beneficiary or person for whose benefit the income is received. When only part of a trust's income is taxable, the beneficiary's taxable share is proportionally determined. The tax authority has equivalent enforcement powers over the representative assessee's property as it would over the property of any taxpayer, regardless of whether the demand is against the representative or the beneficiary.