Le’Sam Accounting Pty Ltd v TPB – Tax agent no longer a “fit and proper person”; failure to respond in relation to legitimate complaint

On 4 June 2021, the AAT has confirmed a decision of the Tax Practitioners Board (TPB) to cancel a tax agent’s registration for not acting “with honesty and integrity”; failed to provide information about a complaint he knew was legitimate and some other ‘meltdown’ behaviour. See below for further details. [Tax Month – June 2021]…

G7 Finance Ministers agree to tax reforms for major multinationals – tax in countries where they operate and minimum 15% tax

The G7 Finance Ministers, meeting in Cornwall in the UK under the UK’s Presidency, issued a media release dated 5 June 2021, announceing that they had agreed to principles of an ambitious two Pillar global solution to tackle the tax challenges arising from an increasingly globalised and digital global economy. See below for further detail.…

STP 2021/D1 – Single Touch Payroll (STP) reporting exemption extended for another year: 2021-22 – ATO issues draft exemption instrument

On Thursday 10.6.21, the ATO today issued Draft Taxation Administration – Single Touch Payroll – 2021-22 year Withholding Payer Number Exemption 2021 (STP 2021/D1) proposing to extend for another year (2021-22) an existing STP reporting exemption for the main (the mandatory) payments. See below for further details. [Tax Month – June 2021]     The…

Peter Greensill Family Co Pty Ltd (Trustee) v CofT – Trustees assessed on capital gains distributed to foreign residents – taxpayers lose appeals in Full Federal Court

On 10 June 2021, the Full Federal Court dismissed appeals against 2 separate decisions that trustees of resident discretionary trusts were assessable under s98 of the ITAA 1936 on capital gains made on the sale of shares that were not taxable Australian property (TAP) which were distributed to foreign residents – causing both taxpayers to…

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…