‘Stapled’ Company Share and Trust Unit arrangements (that avoid Div 6C corporate rate tax) – Integrity Measures Package – detailed announcement

STAPLED STRUCTURES Details of integrity package March 2018 [Australian Government – Treasury: Measures announced 27 March 2018, Details of Measures; Related TT Tax Month Article] OVERVIEW A stapled structure is an arrangement where two or more entities that are commonly owned (at least one of which is a trust) are bound together, such that they…

Senate Economics Legislation Committee’s Report on the Treasury Laws Amendment (Enhancing Whistleblower Protections) Bill 2017 – Content of the bill (a useful summary)

The Senate – Economics Legislation Committee Committee’s Report – Treasury Laws Amendment (Enhancing Whistleblower Protections) Bill 2017 [TT Tax Month article: Exposure Draft of Bill; Introduction of Bill; Committee’s Report]   Chapter 2 – Content of the Bill (extract) – a useful summary Harmonising whistleblower regimes 2.1 The current protections in the Corporations Act 2001 (the Corporations Act) cover a current…

ATO disclosure of Tax Debts to Credit Reporting Bureaus – ATO’s consultation on its proposed administration of the proposed law allowing it to report tax debts, of over $10k owed by ABN holders, that are not suitably managed

The Government announced draft legislation for a ‘tax debt transparency’ (disclosure) measure on 11 January 2018, for consultation purposes (see related Tax Month article). On the same day, ATO uploaded the following article, seeking simultaneous consultation on its proposed administration of this proposed measure (with suitable disclaimers about this only being proposed administration of a…

Whistleblower Bill introduced into Parliament – strengthening and expanding whistleblower protections but still no ‘bounty’ for successful disclosures

On 13 December 2017, the Australian office of the international law firm: Ashurst, put out the following briefing. The authors were: George Cooper, Partner; James Clarke, Senior Associate; and Lucy Cameron, Graduate. What you need to know On 7 December 2017, the Treasury Laws Amendment (Enhancing Whistleblower Protections) Bill 2017 was tabled in Parliament. The Bill…

Lewski v CofT – Amended assessments to discretionary beneficiary overturned by the Full Federal Court – an overview

The Full Federal Court handed down its judgement in Lewski v Commissioner of Taxation [2017] FCAFC 145 on 18 September 2017, overturning the AAT’s decision, in : Re TVKS and FCT [2016] AATA 1010. The Court set aside the Commissioner’s amended assessments to Mrs Lewski of $10.1m in the 2006 year and $3.1m in the 2007 year. There were…

FISCHER & ORS v NEMESKE PTY LTD & ORS – Family Trust’s distribution of an amount equal to the ‘asset revaluation reserve’ on certain shares (and not the shares themselves) with the ‘loan back’ booked – was effective

Introduction On April 6th 2016 the High Court handed down a 3-2 majority decision holding, inter alia, that a trustee had validly exercised a power to “advance” and “apply” trust capital, or income, by creating a debt, enforceable at law, that reflected the increase in value of the main asset of the trust, at the…

Settling legal disputes – the income tax, CGT and GST effect on various elements of the settlement amount paid

Tax and settlements Dr Philip Bender, barrister, List A Barristers Introduction This paper looks at the impacts of Federal taxes on litigation settlements. The main areas covered by the paper are: Goods and Services Tax (GST) and settlements; Income tax (including capital gains tax) and settlements; and Superannuation death benefits. GST and settlements In order…

ATO explains its analysis of the ‘gap’ between taxes theoretically due and actually paid – why and how

Why we measure the tax gap Estimating tax gaps forms part of the ATO’s broader accountability and transparency as a leading administrator. It is consistent with contemporary international best practice in tax administration. Australians all benefit from healthy tax and superannuation systems that support our society and economy. The community expects us to manage all…