On Thursday 4.7.19, the Senate passed the legislation enacting the remaining parts of the personal tax cuts, which the Government announced in the 2019 Federal Budget, in April this year. The feature of this package is the giant 30% marginal tax bracket from $45,000 to $200,000 of income per annum. There is a good tabular…
T a x T e c h n i c a l – M o n t h l y N e w s – July 2019 Developments – This is a collection of developments in Australian tax law and practice that occurred in July 2019 which aims to be relevant to tax practitioners.[i] Compiled By F…
On 29 May 2019, in Schweitzer v CofT – the AAT upheld the Commissioner’s decision not to release some very old liabilities, under the hardship provisions in Div 340 of the TAA53. There were some technical reasons of interest as well has not being able to show that failure to release these debts would cause…
On 10 June 2019, in Bosanac v CofT, the AAT reheard the issue of remitting shortfall penalty and decided that the penalty should be reduced from the 75% ‘reckless’ benchmark, down to 60% (but said it could not be remitted below the 50% level for reckless omission of the net capital gain. See below for…
In Brooks v CofT, the AAT upheld the Commissioner’s decision to disqualify an SMSF director and shareholder for presiding over an undocumented loan from the fund, to he and his wife, of $257,000. It also upheld an assessment, including the loan receipt as a superannuation benefit prior to a condition of release. See below for…
This has nothing to do with tax but – the High Court decided that a sperm donor was a ‘parent’ and entitled to a ‘parenting order’ under the Family Law Act 1975 (I thought I should get my head out of the tax books for this one). This was in Masson v Parsons, decided on…
The NSW Supreme Court has found that a taxpayer company was not subject to payroll tax on payments to third party subcontractors to install equipment for Foxtel Subscription Television at the premises of Foxtel customers. It was a ‘relevant contract’ issue. See below for a further discussion of the case. FJM 1.7.19 [Tax Month –…
On 21 June 2019, the Federal Court held that a horse racing club that paid jockeys through a centralised system was NOT an ’employer’ of the jockeys and had no obligation to pay superannuation (or at least, no liability to pay the Superannuation Guarantee Charge, if it had not made equivalent contributions to superannuation funds…
Message from the Board of Taxation Vale Michael Andrew AO It is with great sadness that the Board of Taxation (the Board) acknowledges the passing of its Chair, Michael Andrew AO, on Sunday 23 June. Michael was a highly respected member of the business and tax community as is reflected in the statement made…
In The Tax Institute’s newsletter: TaxVine (24, 28 June 2019), contained Louise Boyce’s National Technical Committee Chair’s Report, on the ATO’s controversial draft determination: TD 2019/D1, on the extent of demerger relief they think is available, under the law. Louise Boyce is Tax Counsel at Squire Patton Boggs, a global business law firm with 47 offices…