Yearly Archives: 2017

Re Boer and FCT – No permanent place of abode outside of Australia: taxpayer a resident and assessable on his Oman oil technician income [27]

The AAT has held a taxpayer was an Australian resident as he did not have a permanent place of abode outside of Australia for part of the 2009 income year (between 21 November 2008 and 30 June 2009). Accordingly, it held the foreign sourced income derived by the taxpayer was assessable income for the relevant…

Re Vita Hot Bread Pty Ltd and FCT – Failure to show assessments excessive – industry benchmark disparity [26]

The AAT has affirmed an amended assessment issued to a taxpayer, a company that ran a bakery business, for undeclared income and incorrectly calculated GST. It did so on the basis of finding that the taxpayer had not satisfied the onus of proving the assessment was excessive. In arriving at its decision, the AAT took…

Re Murray and FCT (No 3) – Amended assessments based on Liechtenstein bank information upheld for the 1999 to 2007 years [26]

The AAT has affirmed amended assessments issued to a taxpayer for the 1999 to 2007 income years which increased his assessable income by some $25m and imposed shortfall penalties of some $5m. The information on which the amended assessments were based was information obtained from a former employee of a Liechtenstein bank, who illegally obtained…

Re Fortune Corporation Pty Ltd – tax agent registration terminated for lodging returns for Indian taxpayers based on unverified information from two business men to whom he paid the refunds [25]

The AAT has affirmed a decision of the Tax Practitioners Board terminating an applicant’s tax agent registration on the basis that he was not a “fit and proper person” under s 20-5 of the Tax Agent Services Act 2009 (TASA). In November 2010, the Board terminated the applicant’s tax agent registration pursuant to s 40-5(1)(b)…

*Re The Trustee for MH Ghali Superannuation Fund and FCT – Amended assessments to include as “special income” in the contract year (2006) despite being settled in 2011 [24]

The AAT has confirmed amended assessments to include “special income” issued by the Commissioner to a taxpayer for the 2005 and 2006 income years as correct. The background facts were complex, but essentially involved the taxpayer (a trustee company of a self-managed super fund), a Unit Trust, and an individual who was a director of…

*Re Sneddon and FCT – Taxpayer resident of Australia under ordinary concepts despite over 2 years away, based on property maintained and money remitted here – therefore Qatar employment income assessable [23]

The AAT has found on the balance of the facts that a taxpayer was an Australian resident according to ordinary concepts for the income year ended 30 June 2009. Accordingly, it held that foreign employment income derived by the taxpayer was properly included in his assessable income for Australian tax purposes. The taxpayer left Australia…

Re Hourani and Tax Practitioners Board – Application for tax agent registration refused (AAT confirms TPB’s deision) [22]

The AAT has affirmed a decision of the Tax Practitioners Board refusing an applicant’s application for tax agent registration on the grounds that he was not a “fit and proper person” under s 20-5 of the Tax Agent Services Act 2009. The Tribunal noted the Board’s concerns with respect to the applicant’s fitness and propriety…

*Re Sea Shepherd Australia Limited and FCT – Sea Shepherd Australia Limited not a deductible gift recipient because it doesn’t provide direct care to animals [21]

The AAT has held that Sea Shepherd Australia Limited was not entitled to be endorsed as a deductible gift recipient. In doing so, it affirmed the Commissioner’s decision to disallow the taxpayer’s objection to his refusal to endorse the taxpayer as a deductible gift recipient. The Tribunal said the taxpayer was established by Sea Shepherd…

Hua Wang Bank Berhad & Ors v FCT (No 2) – Commissioner’s information request to UK HMRC upheld [20]

In a decision handed down on Fri 31.8.2012, the Federal Court has: dismissed the taxpayers’ application for judicial review of the Commissioner’s decision to issue a formal request to Her Majesty’s Revenue & Customs in the United Kingdom for information. The Court said it did not accept that it was beyond the power of the…

BCI Finances Pty Limited v FCT – Court approves order requesting overseas evidence in tax case where receipt from foreign bank doubted as loan [19]

The Federal Court has granted the Commissioner’s application for an order, under s 7(1)(c) of the Foreign Evidence Act 1994, that a letter of request be sent to the judicial authorities of Israel to obtain the evidence of a bank employee there, as well as an order that the taxpayer provide to the Court a…