Year end tax planning Part 2 – Div 7A minimum payment ‘hardship’ relief; start of 25% corporate ‘base rate’; temporary ‘full expensing’ measures; and no deductions for holding costs on vacant land or travel expenses to inspect rental properties

Further year end tax planning points (many of them less obvious) include: making hardship applications, if Div 7A minimum payments can’t be made, this year; the start of the 25% tax rate and franking rate, for ‘base-rate’ companies, with an aggregate turnover under $50m; JobKeeper derivation; crypto-currencies realisation issues; vendors claiming a credit for any tax…

Year end tax planning Part 1 – Div 7A sub-trust arrangements maturing, new TFNs to ‘closely held trusts; ‘family trust elections’ & distributions; year end superannuation contribution issues for members and employers

The end of the financial year is coming (30.6.21) and here is a short discussion of a list of some of the more esoteric issues that can trap the unwary – Div 7A ‘sub-trust’ arrangements that mature this year; reporting TFN’s to new trustees or for new beneficiaries of ‘closely held trusts’; distributions by trusts…

TD 2021/D1 – Draft Determination on how to calculate ‘aggregated turnovers’ where ‘connected’ and ‘affiliate’ entities have adopted different accounting periods for the same ‘income year’

On Fri 11.6.2001, the ATO issued Draft TD 2021/D1, which is titled “Income tax: when working out your aggregated turnover, are the relevant annual turnovers of entities connected with you, or entities that are affiliates of yours, determined by reference to your income year?”. The Commissioner proposes to rule that turnover must be calculated for…

Uber Eats paid $400k to settle a $15k ‘unfair dismissal case that hinged on whether the rider was an ‘independent contractor’

Uber Eats paid $400,000 to settle an ‘unfair dismissal claim’ worth, at best, about $15,000, after Full Federal Court judges said they were ‘very unimpressed’ with Uber’s approach. The Settlement was reached after the hearing and before the decision was handed down. The confidential settlement was revealed under ‘parliamentary privilege’. See below for more details.…

Tax Month – June 2021

T a x  T e c h n i c a l  –  M o n t h l y  N e w s – June 2021 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 ______________________________________________________________________________  …

Federal Government’s signature superannuation reform package, passed the lower house after dumping a controversial power allowing the Treasurer to veto super fund payments or investments

On 3 June 2021, the AFR’s Michael Read posted an article, titled: Super reforms pass lower house after government dumps ‘veto power’. It reported that the Federal Government’s signature superannuation reform package, passed the lower house on Thursday evening (3.6.21), after a controversial power allowing the Treasurer to veto super fund investments was dumped due to objections…

Treasury Laws Amendment (Your Future, Your Super) Bill 2021 – Government drops its own measure to allow the Treasurer to ban certain fund payments or investments

The Treasury Laws Amendment (Your Future, Your Super) Bill 2021 was passed by the House of Reps on 3 June 2021 with one Government amendment, which was significant. It was to remove one of the most contentious elements – and amendment that would give the Treasurer the power to prohibit certain types of payments by, or investments…