STAPLED STRUCTURES Details of integrity package March 2018 [Australian Government – Treasury: Measures announced 27 March 2018, Details of Measures; Related TT Tax Month Article] OVERVIEW A stapled structure is an arrangement where two or more entities that are commonly owned (at least one of which is a trust) are bound together, such that they…
The AAT has held that a taxpayer had not discharged his onus of proof to demonstrate that default assessments for the 2008, 2009 and 2010 income years were excessive and the 75% penalties, for failure to lodge the returns, should not be remitted. The Taxpayer did not lodge income tax returns for the 2008, 2009…
Treasury consultation, on draft legislation, for ASIC to impose ‘fees-for-service’, commenced 11 April 2018 and runs to 1 May. There are a number of fees that affect superannuation auditors. SMSF auditors – The fee for applying for registration (as ASIC approved) is to increase from $107 to $1,927 from 1 July 2018 – an 18 fold increase (but…
The Federal Court has set aside an order for winding up of a company (due to unpaid tax debts) on the basis that the evidence presented created a reasonable doubt (for the purposes of s160 of the Evidence Act 1995) that the posted Statutory Demand arrived in the post. The facts were these: On 4 October…
You might have missed it, but the ABC ran an unfavourable story, about the ATO, in its ‘Four Corners’ program (aired Mon 9.4.18) and a related article on its website. There was more than one matter reported on, but the gist of the story is that the ATO can be heavy handed with small business,…
The Commissioner has exercised his ‘Remedial Power’, in s370-5 of the TAA1, by making the Taxation Administration (Remedial Power – Small Business Restructure Roll-over) Determination 2017. This is to make the Small Business Restructure Roll-over (Restructure Rollover) provisions work better, with respect to depreciating assets. The ‘Remedial Power’ allows the Commissioner to modify the tax…
The AAT has upheld the Commissioner’s objection decision, which denied a photographer/taxpayer work-related expenses claimed by a photographer on the basis that he failed to discharge his onus of establishing that the claimed amounts were deductible. The taxpayer claimed travel expenses and other expenses (eg stationary, mobile phone, protective gear, internet, computer hardware, camera, depreciation)…
On Wednesday, 28 March 2018, the Government introduced the Treasury Laws Amendment (OECD Multilateral Instrument) Bill 2018 in the House of Representatives. The effect of this Bill will be to amend the International Tax Agreements Act 1953 (Agreements Act), to give the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (‘Multilateral…
The Treasury Laws Amendment (Reducing Pressure on Housing Affordability Measures No 2) Bill 2018 was introduced in the House of Reps on Thur 8.2.2018. On 15.2.18, the Bill was referred to the Senate Economics Committee, for report by 23 March 2018. On 1 March 2018, the Bill passed the Lower House, without amendment. It will…
On 13 March 2018, the Opposition Leader: Bill Shorten announced that a Labor Government would, if elected (and the Senate permitted), abolish cash ‘refunds’ of excess dividend imputation credits for individuals and superannuation funds. On 27 March 2018, the Treasurer (Chris Bowen) ameliorated this measure by exempting pensioners and pensioner SMSFs (what they call the…