Daily Archives: February 22, 2017

ATO writes to directors of companies with unpaid PAYG to explain their DPN obligations [30]

The ATO has advised that in late April 2013, it will be sending letters to directors of companies that have unpaid PAYG withholding amounts. It says the letter will explain the directors’ obligations and personal risk in relation to their companies’ PAYG withholding debt, and will encourage directors to pay the debt immediately or make a payment…

*ATO data-matching program: online sellers with sales of $20k or over in the 2010/11 year will be identified and checked [29]

The ATO on Wed 3.4.2013, announced a data-matching program targeting online sellers. It will collect the personal information as well as the number and value of monthly sales, internet protocol addresses, and bank account details of sellers who have made sales of $20,000 or greater in the 2010-11 income year through various online selling websites.…

*Re Alnot Pty Ltd and FCT – CGT: net asset value test failed – holiday home not used for personal use and enjoyment [16]

The AAT has confirmed that a taxpayer, a company that made a capital gain of over id=”mce_marker”m in selling its interest in a car wash business in the 2007-08 income year, did not satisfy the (then) $5m maximum net asset value (MNAV) test for the purpose of qualifying for the CGT small business concessions. In…

Re Wray-McCann and FCT – Amounts transferred overseas under pseudonym from fake address were assessable income and 75% penalty was upheld [17]

The AAT has held that amounts transferred by the taxpayer using a pseudonym to a trust established in Vanuatu was assessable income. In addition, it also held that furniture removal expenses the taxpayer incurred were not deductible, and affirmed the shortfall penalty imposed of 75% for intentional disregard. The taxpayer established a trust in Vanuatu…

Re IOOF Holdings Limited and FCT – Taxpayer fails in second preliminary matter regarding a ruling rights to future income in a consolidated group [18]

The AAT has held that, for the purposes of undertaking its review of the Commissioner’s deemed disallowance of the taxpayer’s objection against the Commissioner’s failure to make a private ruling concerning its claim for a deduction under s 716-405 of the ITAA 1997 re rights to future income, it was not open to the Tribunal to…

Re The Gambler and FCT – Unexplained deposits not attributable to gambling winnings [19]

The AAT has affirmed amended assessments and penalties imposed on a taxpayer that were based on the Commissioner’s assessment of numerous unexplained deposits to several of the taxpayer’s bank accounts. The taxpayer claimed that he and a friend travelled to Vietnam in 2006 and discovered a system for winning at baccarat that meant he could…

Re The Trustee for Oenoviva (Australia and New Zealand) Plant and Equipment Trust & Anor v FCT – No ATO reviewable objection decision, no jurisdiction [20]

The AAT has held that it does not have the jurisdiction to consider applications lodged on behalf of taxpayer trusts relating to assessments of GST and associated penalties on the basis that the Commissioner had not yet made a reviewable objection decision. The taxpayers were 2 associated trusts that had been audited by the ATO…

Re Altnot Pty Ltd and FCT – small business CGT relief – despite winning in the AAT, the Commissioner appeals the basis of the finding on minimum net value [21]

The Commissioner has lodged a notice of appeal to the Federal Court against the decision in AAT Case [2013] AATA 140, Re Altnot Pty Ltd and FCT. In that case, the AAT confirmed a taxpayer company did not satisfy the maximum net asset value (MNAV) test for the purposes of qualifying for the CGT small…

Re Walters and FCT – Commissioner appeals AAT decision that it can review objections made prior to the amended assessments [22]

The Commissioner has lodged a notice of appeal to the Federal Court against the decision in AAT Case [2013] AATA 151, Re Walters and FCT. In that case, the AAT determined that it had the jurisdiction to review objection decisions made by the Commissioner in relation to both amended assessments of primary tax and assessments…

FCT v Macquarie Bank Limited – Commissioner seeks special leave to appeal to the High Court from ‘Mongoose’ Part IVA consolidation decision [23]

The Commissioner has applied for special leave to appeal to the High Court against the decision of the Full Federal Court in FCT v Macquarie Bank Limited [2013] FCAFC 13. In that case, the Full Federal Court unanimously dismissed the Commissioner’s appeal and held that a member of a consolidated group was not subject to…