ATO kicks back on Centrelink’s ‘robodebt’ practice of collecting these purported debts from welfare recipient’s tax refunds

The Senate Standing Committee on Community Affairs took the unusual step of making public the responses of a number of parties, to its questions on notice about the legality of Centrelink’s ‘robodebt’ compliance program. This included sensitive emails, between the ATO and DHS/SA, which the ATO provided on 24 Jan 2020. See below for a…

Treasury Laws Amendment (Combating Illegal Phoenixing) Bill 2019 passes Parliament with Senate amendment for 5 year review – attacking ‘creditor-defeating dispositions’, collecting GST estimates and withholding GST refunds

On 5 February 2020, the Treasury Laws Amendment (Combating Illegal Phoenixing) Bill 2019 finally passed both houses of Parliament after the Lower House agreed to amendments by the opposition in the Senate, requiring a review of the operation of the Act in 5 years. See the Tax Technical article about this Bill being introduced into Parliament.…

Treasury Laws Amendment (Reuniting More Superannuation) Bill 2020 introduced – Eligible rollover funds to exit super industry by 30 June 2021

The Government introduced the Treasury Laws Amendment (Reuniting More Superannuation) Bill 2020, into Parliament (the House of Reps) on Thur 6.2.2020.  This proposes amendments to facilitate the closure of eligible rollover funds (ERFs) by 30 June 2021. On 13.12.2019, the Treasurer the Government would introduce this legislation (see related TT article). See below for a summary of this Bill.…

An EU problem of shareholders getting a double refund of underlying tax, from 2006 to 2011, worth the euro equivalent of $A90 billion – the role of morality in legal interpretation

On Friday 7 February 2020, The Tax Institute’s Senior Tax Counsel: Bob Deutsch, published his weekly Report in the Institute’s TaxVine (#4), entitled “CUM-EX TRADES: Immoral, illegal or none of the above?”. This is an article about an EU problem of shareholders getting a double refund of underlying tax, from 2006 to 2011, worth the…

DCT v Cutili Invest 88 Pty Ltd – interlocutory ‘freezing orders’ over the taxpayer assets, made ‘until further order’, did NOT automatically end on final judgment

On 4 February 2020, the Federal Court (Steward J) handed down a judgement, that a taxpayer has been unsuccessful in arguing that a freezing, order over its assets, was discharged when substantive judgments were entered into over the disputed debt.

See below for a summary of the case.

[Tax Month – February 2020]

Coal of Queensland Pty Ltd v Innovation and Science Australia – coal surveys, drilling and analysis were were not ‘core’ R&D

On 6 February 2020, the AAT decided that certain of the taxpayer’s activities were not ‘core’ R&D activates, but rather normal prospecting. See below for a summary of the case. [Tax Month – February 2020]     A coal mining company has failed to convince the AAT that certain activities designed to make extracting coal…

Income Tax Assessment Amendment (Exploration for Minerals) Regulations 2020 – Exploration credits allocations for 2020-21 increased by $5m

On Thursday 6.2.20, the Governor-General made the Income Tax Assessment Amendment (Exploration for Minerals) Regulations 2020 and one day later, they were registered on the Federal Register of Legislation and took effect – to increase the s418-103(1)(d) amount by $5m.

See below for an explanation of how this affects junior explorers.

[Tax Month – February 2020]

Tax Month – February 2020

T a x  T e c h n i c a l  –  M o n t h l y  N e w s – February 2020 Edition – Tax developments for tax practitioners by a tax practitioner.   Compiled by F John Morgan A member of the Victorian Bar (www.FJMtax.com) Table of Contents ______________________________________________________________________________ COMPILING…

Financial Accountability Regime will extend ‘BEAR’ to APRA regulated super trustees (RSE licensees) – Treasury proposal paper released – submissions due 14 February 2020

On 22 January 2020, the Treasurer released a ‘Proposal Paper’ on extending the Banking Executive Accountability Regime (BEAR) to all APRA-regulated entities (including superannuation RSE licensees), as recommended by the Banking Royal Commission – recommendation 3.9).

See below for details.

[Tax Month – January 2020]