Three weeks ago we covered the main media reports of Primelife founder Ted Sent being hit with a $2.8 million penalty for ‘recklessly dodging tax’; we used the term ‘evaded’ tax. Ted has called us to say he has neither dodged or evaded tax. He has now also supplied the Tax Institute report on his case. It says the Tax Commissioner imposed the penalty based on recklessness but Ted’s appeal to the Australian Administration Tribunal (AAT) won a change in that ruling. The AAT held that the taxpayer (Ted Sent) had not been reckless, having relied on advice. However the AAT (ruled) the taxpayer (still) did not have a reasonably arguable position, so tax shortfall penalties of 25% were justified. Ted is still fighting. He is now back challenging the ATO over this latest ruling.