Daily Archives: October 29, 2016

Financial Synergy Holdings Pty Ltd v FCT – High Court refuses Commissioner leave to appeal – time for determining the market value of acquiring a pre-CGT asset remains its actual not deemed (pre-CGT) time

The High Court has refused the Commissioner special leave to appeal against the decision in Financial Synergy Holdings Pty Ltd v FCT [2016] FCAFC 31. The Full Federal Court had unanimously allowed the taxpayer’s appeal and held that for the purposes of determining the “allocable cost amount” (or cost base) of an asset that came…

Debt- Equity rules – draft legislation to implement the Board of Taxation’s recommendations to aggregate schemes when they are interdependent and designed to operate together (giving integrity rules more certainty)

On 10 October 2016, the Minister for Revenue and Financial Services, the Hon Kelly O’Dwyer MP released Exposure Draft legislation and explanatory material to provide greater certainty in relation to integrity rules regarding the taxation of debt and equity. Australia’s tax rules classify financing arrangements as debt (with deductible interest) or equity according to their…

Re Edwards and FCT – Lump sum payment for arrears in workers’ compensation paid to a policeman assessable in year of receipt but eligible for smoothing tax offset

The AAT has confirmed that a lump sum payment made by Comcare to a former Australian Federal Police officer for arrears of workers’ compensation was assessable in its year of receipt, and not over the income years to which it related. In doing so the AAT confirmed that the “appropriate” accounting method for the taxpayer,…

DCT v Acimovic – Commissioner succeeds in application for rectification of consent order for debt owed of $612,103

A Deputy Commissioner has been successful, before the District Court of Queensland, in rectifying a consent order previously made by a registrar  in respect of a $600,000 debt owed by a taxpayer under s666 of the Uniform Civil Procedure Rules (Qld) (“the Rules”). The Court held that the consent order should never have been made…