The Commissioner has issued a ‘Discussion Paper’ to assist in drawing a second draft of TR 2014/D1 Income tax: employee remuneration trusts was published on 5 March 2014. Comments are sought be 12 February 2016. This draft sought to explain, in a preliminary way, the Commissioner’s views on the taxation consequences for employers, trustees and…
An Addendum to Law Companion Guideline LCG 2015/2 (Section 177DA of the ITAA 1936: Schemes that limit a taxable presence in Australia) was issued on and with effect from Wed 27.1.2016. LCG 2015/2 explains how the ATO will apply the new multinational anti-avoidance law (‘MAAL’) in s 177DA of Pt IVA of the ITAA 1936, which…
The following Class Rulings and Product Ruling issued on Wed 13.1.2016: CR 2016/1: Loans from Public and Private Ancillary Funds to AUSiMED Limited – which applies from 1 July 2015. CR 2016/2: Hyne & Son Pty Ltd – exchange of shares for stapled securities in Mayflower Enterprises Pty Ltd – which applies from 1 July…
On Wed 20.1.2016, the ATO issued a Class Ruling: CR 2016/5, which concludes that the Victoria University Voluntary Early Retirement Scheme is an early retirement scheme for the purposes of s 83-180 of the ITAA 1997.. [LTN 12, 20/1/16]
On Wed 27.1.2016, the ATO issued Class Ruling CR 2016/6 (the Swinburne University Academic Staff Voluntary Early Retirement Scheme 2015-16). The Class Ruling provides that the Swinburne University Academic Staff Voluntary Early Retirement Scheme 2015-16 is an early retirement scheme for the purposes of s 83-180 of the ITAA 1997. It applies from Wed 27.1.2016 to…
On 20 January 2016, the ATO put the following advice on it’s website about LAPS 3687. Publication of the LAPS has been put ‘on hold’ due to the Federal Court’s decision on the Chevron case dated 23 Oct 2015. The court rejected the Commissioner’s view that tax treaties can be relied on, independently of the…
There have been significant changes to Part IVA since the original PS LA 2005/24 was drafted. The PS LA is being updated to reflect relevant court decisions and provide guidance on the amended legislation. The publication of PS LA 2005/24 is temporarily on-hold to allow for additional external consultation to take place. Refer to Matters…
[The ATO states, on its website] We conduct transfer-pricing reviews as part of broader risk reviews of businesses under our compliance program. Documenting your transfer pricing: is important for demonstrating your compliance with Australia’s transfer pricing rules can be costly, particularly for smaller businesses. The ATO have developed some simplified transfer pricing record keeping options…
This measure is now proposed to apply to look-through ‘‘Earn-out’’ rights created on or after 24 April 2015. ‘‘Earn-out’’ rights created before this date should consider the treatment described in scenario 1 below. For all other taxpayers, the treatment described in scenario 2 and 3 below should be considered. ‘Earn-out’ rights created between 11 May 2010 and 23…
On 18 January 2016, the ATO published the following on its website. ‘Recent changes to the law requires us to publish income tax information for Australian-owned resident private companies who report a total income of $200 million or more. Reporting will start for the 2013–14 financial year onwards. We recently wrote to affected companies, and…