Douglass v CofT – Taxpayer appeals AAT decision that that the PSI rules to fully assess him on the remuneration for his work – despite being derived by a partnership with his wife

Tax Month - November 2018

The taxpayer has appealed to the Federal Court against the decision in Douglass v CofT [2008] AATA 3729. The AAT had ruled that income received for engineering services was subject to the personal services income (PSI) rules, as the partnership business did not pass the “results test” in s87-18 of the ITAA97 (ie principally that at…

Employee Share Schemes (ESS) – Treasurer proposes the $5k tax free salary sacrifice limit be doubled to $10k and an extension of the Div 83A ESS tax regime to ‘contribution plans’

Tax Month - November 2018

The Treasurer and Minister for Small Business made a joint announcement on 13 November 2018 that the Government was proposing to improve the ’employee share scheme’ (ESS) regime in a number of ways (referring primarily to the taxation regime in Div 83A in the ITAA97). The most important part of the announcement was that the…