The ATO has advised that it has used new powers to recover $8m in workers’ superannuation entitlements from the operators of labour-hire companies in South Australia and Victoria who have engaged in phoenix behaviour. The ATO said the network of companies provided labour-hire services such as seasonal fruit picking and meat packing and had been…
The Federal Court has imposed impose civil pecuniary penalties upon the directors of the trustee of a regulated superannuation fund in respect of admitted contraventions of the SIS Act. In the period 31 March 2000 to August 2013, the first respondent, Early Sunshine Pty Ltd (Early Sunshine), was the trustee of the George MacDonald & Sons Pty Ltd Superannuation…
The Full Federal Court has partly allowed appeals by commissioned officers of the Western Australian police force against superannuation contributions tax assessments. [See discussion above under ‘Cases’ – ‘Full Federal Court’.] (Albrecht & Ors v FCT [2014] FCAFC 176, Full Federal Court, Perram, Robertson and Griffiths JJ, 19 December 2014.) [LTN 1, 5/1/15]
On Wednesday 14.1.15, the ATO issued Addenda to the following GST Ruling and GST Determination: GSTR 2009/3: Cancellation fees; and GSTD 2012/4: What is “hospital treatment” for the purposes of s 38-20 of the GST Act? [LTN 8, 14/1/15]
The ATO on Wed 28.1.2015, issued GST Determination GSTD 2015/1 which states that the supply of brokerage services that facilitate the sale or purchase of financial products on overseas securities or futures exchanges is a GST-free supply under para (a) of item 4 in the table in s 38-190(1) of the GST Act (Item 4). The Determination…
A company has been successful before the AAT in discharging the burden of proof that GST and income tax assessments issued to it following an audit by the Commissioner were “excessive”. [See article under AAT cases – above.] [LTN 17, 28/1/15]
On 12 December 2014, the Tax and Superannuation Laws Amendment (2014 Measures No 6) Bill 2014 received Royal Assent. The Bill includes amendments that extend the existing business restructure roll-overs available where a member of a company or unit holder in a unit trust can defer the income tax consequences of transactions that occur in the course…
In the keynote address on Tue 20.1.2015, at the Australasian Tax Teachers’ Association 27th annual conference, ATO Second Commissioner Andrew Mills outlined some of the recent changes and developments at the ATO. Mr Mills said the ATO supports the creation of a separate area within the ATO to manage disputes for all taxpayers. As was…
This Practice Statement, released on Thur 15.1.2015, sets out the ATO policy on the settlement of tax and super disputes including disputes involving debt. It states that settlement negotiations or offers can be initiated by any party to the dispute and can occur at any stage including prior to assessments being raised. The ATO notes…
The ATO on Fri 30.1.2015, issued the following IDs: ATO ID 2015/2: Superannuation: superannuation benefits: Journal entry insufficient to constitute payment of a death benefit; and ATO ID 2015/3: Superannuation: death benefits: a member’s benefits must be “cashed” upon death. [LTN 19, 30/1/15]