The Government on Thursday 9.2.2012, released draft legislation proposing to give effect to its SuperStream reforms aimed at improving the administration and management of superannuation accounts. Broadly, the proposed amendments seek to support the implementation of mandatory data and payment standards for transactions undertaken by superannuation entities and employers. The Exposure Draft – Superannuation Legislation…
This Draft GST Ruling, released on Wed 29.2.2012, sets out the Commissioner’s views on the treatment of exit payments which a resident becomes liable to pay to the operator of a retirement village when the resident’s interest in the village terminates. The Tax Office will generally view an exit payment as consideration wholly for supplies…
The Indirect Tax Laws Amendment (Assessment) Bill 2012 was introduced in the House of Reps on Wed 29.2.2012. It makes the following amendments: Amends the Taxation Administration Act 1953, the GST Act and other taxation Acts to harmonise the current self actuating system that applies to GST, the luxury car tax, the wine equalisation tax…
The Government on Tue 14.2.2012, released draft legislation and an EM for public consultation on the proposal to amend s 195-1 of the GST Act to expressly provide that Div 105 operates to the exclusion of Div 58 where a mortgagee in possession or control sells the property of a corporation. The measure was initially…
The ATO on Wed 29.2.2012, issued Class Ruling CR 2012/14 (Oceania Capital Partners Limited: return of capital and off-market share buy-back). It applies from 1 July 2011 to 30 June 2012. Broadly, the Ruling states that the share buy-back was an off-market purchase for the purposes of s 159GZZK of the ITAA 1936. It also…
The ATO on Wed 15.2.2012, issued the following Class Rulings: CR 2012/11: Return of capital: Exco Resources Limited. It applies from 1 July 2011 to 30 June 2012. The Ruling broadly states that the return of capital is not a dividend as defined in s 6(1) of the ITAA 1936. CR 2012/12: AMP Limited Equity…
The ATO on Wed 8.2.2012, issued Class Ruling CR 2012/10 (Bonus share plan: Australia Foundation Investment Company Limited). It applies from 1 July 2011. Among other things, the Ruling states that if the company does not credit its share capital account in connection with the issue of the bonus shares, then the value of the…
The ATO on Wed 1.2.2012, issued the following Class Rulings: Class Ruling CR 2012/6: Return of capital, acquisition of new interests and stapling of securities to form a new stapled security: Centro Australia Wholesale Fund; Class Ruling CR 2012/7: Return of capital, acquisition of new interests and stapling of securities to form a new stapled…
The Tax Office on Wed 1.2.2012, released this Draft TD which states the ATO view that it is possible for a beneficiary of a trust estate to be reasonably expected to receive a share of the net financial benefit referable to a capital gain for the purposes of s 115-228(1)(a) of the ITAA 1997, despite…
The ATO on Wed 1.2.2012, issued an Erratum to Taxation Determination TD 2007/28 (What is a “present legal obligation” of a private company for the purposes of s 109Y(2) of Div 7A of Pt III of the ITAA 1936?) to among other things, correct the distributable surplus formula. [LTN 20, 1/2]