The ATO has issued a release on 3 convictions for illegal phoenix operations. The 3 men were alleged to have established multiple labour hire companies to provide workers to vineyards, fruit and vegetable growers, and meat processers around South Australia and in Queensland. The companies failed to remit both GST and PAYG withholding to the ATO, despite…
The AAT has dismissed an application for review of an objection decision where the taxpayer, despite having his objection allowed in full, was still not happy with the outcome. In the 2019 income year, the taxpayer received a lump sum compensation payment in settlement of a Comcare claim. The payment reflected 3 years of compensation.…
A company was not entitled to the cash flow boost in respect of an amount paid to its sole director because it entered into a scheme to increase its entitlement to the cash flow boost. The company’s 2 shareholders (Mr and Mrs K) decided in late March 2020 to pay Mrs K (its sole director) $25,000 remuneration.…
The AAT has refused to waive a tax debt even though payment of the debt would cause a business consultant serious hardship. The taxpayer was the CEO of a former listed public company (NS) which operated a business as a satellite communications provider. The company collapsed, however, and eventually went into liquidation. The taxpayer had…
A surgeon based in Melbourne, who spent about 70% of his time working as a locum, in NSW hospitals, has been denied a deduction for car and meal expenses incurred while travelling to and working in those hospitals. The taxpayer was an assistant surgeon based in Melbourne. In the 2015-16 income year, he was also…
Treasury has released the consultation paper concerning its review of the insolvent trading “safe harbour”. The safe harbour was established under the Treasury Laws Amendment (2017 Enterprise Incentives No 2) Act 2017 (as part of the Government’s so called National Innovation and Science Agenda). It provides protection for company directors from personal liability for insolvent trading if…
The Industry Research and Development Amendment (Industry Innovation and Science Australia) Bill 2021was passed unamended by Federal Parliament on 30 August 2021. It will rename the independent statutory board currently known as “Innovation and Science Australia” (“ISA”) to “Industry Innovation and Science Australia” (“IISA”) and will make the necessary consequential amendments (ie to other Acts). [LTN 170, 3/9/21]…
The Treasury Laws Amendment (2021 Measures No 6) Bill 2021was passed by Parliament without amendments on 2 September 2021 and received Royal Assent on 13 September 2021, as Act On 111 of 2021. The Bill contains amendments to: make refunds of large-scale electricity generation shortfall charges non-assessable non-exempt; remove the requirement for certain super funds to provide…
The Treasury Laws Amendment (2021 Measures No 2) Bill 2021 passed both houses of Parliament on 2/9/21 and received Royal Assent on 13/9/21 as Act No. 110 of 2021. This followed amendments made in the Senate. The Bill will implement previously announced changes to the deductible gift recipients (DGR) and Offshore Banking Units (OBU) rules. The…
The Treasurer, on Thursday 30.9.2021, released the Final Budget Outcome for 2020-21 showing a Budget cash deficit of $134.2 billion for 2020-21, representing a $26.8 billion improvement on the $161bn deficit estimated in the May 2021 Budget. This improvement was the result of higher total receipts by $20.1 billion and lower total payments by $6.7 billion. Net debt was…