A recent AAT decision serves as a reminder that the AAT cannot review an objection decision made by or on behalf of a company if the company no longer exists. A director of a trustee company applied to the AAT for review of an ATO decision disallowing an objection to an assessment for penalties imposed…
On Monday 28.2.22, the Tasmanian Government announced land tax threshold changes as tax relief for property owners. The tax-free threshold for land tax will increase to $100,000 (from $50,000) while the upper threshold for land tax will be increased to $500,000 (from $400,000). The tax rate for land valued between $100,000 and $500,000 will also be…
On 8.3.22, the Tasmanian Government announced that legislation has been introduced to extend the Payroll Tax Rebate Scheme to 30 June 2024. The Scheme provides a rebate to employers for employing apprentices, trainees and youth employees. The Government said the Scheme supports around 3,000 apprentice, trainee and youth employee placements each year. [Tax Month – March 2022 – Previous…
APRA and ASIC have issued a joint letter to registrable superannuation entity (RSE) licensees setting out their expectations on the implementation of the retirement income covenant. The letter follows recent amendments to the SIS Act which require RSE licensees to formulate a retirement income strategy and publish a summary of the strategy on the entity’s website…
T a x T e c h n i c a l – M o n t h l y N e w s – March 2022 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 ______________________________________________________________________________ …
[AFR 23.2.22] The Tax Office’s latest crackdown on payments from family trusts will limit “washing machine” cash distributions and tax-saving arrangements completed under the guise of ordinary family business. A long-awaited draft ruling and practical compliance guidelines were released by the Australian Taxation Office on Wednesday, flagging permanent changes that accounting experts said would ring alarm…
In the Tax Institute’s weekly email to members: TaxVine (5, 25.2.22), their Vice President’s Report: Marg Marshall, CTA wrote about the long-awaited draft guidance materials on the application and operation of section 100A (s100A) [see related TT article] and Division 7A (Div 7A) of Part III of the Income Tax Assessment Act 1936 (ITAA 1936) [see related…
On Wed 23.2.2022, the ATO released its long awaiting guidance on trust reimbursement agreements, Draft TR 2022/D1. A companion product – Draft Practical Compliance Guideline PCG 2022/D1 – was also issued. See related TT article. Draft TR 2022/D1 identifies, and discusses, 4 basic requirements for s100A of the ITAA36 to apply: the “connection” requirement –…
On Wed 23.2.2022, the ATO released the well signalled Draft Determination TD 2022/D1 on the application of Div 7A in relation to unpaid present entitlements (UPEs) and sub-trusts (see related TT article). Specifically, the Draft sets out the ATO’s revised draft views that a private company beneficiary provides “financial accommodation” to the trustee or a shareholder (a…
The High Court has refused the taxpayers’ applications for special leave to appeal against the decision of the Full Federal Court in Peter Greensill Family Co Pty Ltd (Trustee) v FCT [2021] FCAFC 99. The Full Federal Court decision, which now stands, had dismissed the taxpayers’ appeals against 2 separate decisions that trustees of resident…