*FCT v Visy Industries USA Pty Ltd – Deduction for indemnity fee under a forward exchange contract – Commissioner loses appeal [17]

In a decision handed down Fri 10.8.2012, the Full Federal Court dismissed the Commissioner’s appeal thereby confirming the September 2011 decision of the Federal Court in Visy Industries USA Pty Ltd v FCT [2011] FCA 1065 that the taxpayer was entitled to a deduction under s 8-1 of the ITAA 1997 for an “indemnity fee”…

*Gordon J on when retrospective tax legislation may become unconstitutional – putting some ‘jurisprudential backbone’ into our pet bug-bear [88]

In giving the recent 8th Annual Tax Lecture at the University of Melbourne, the Hon Justice Gordon of the Federal Court spoke on “The Commonwealth’s taxing powers and its limits – Are we there yet?“. Among other things, she discussed the concept of retrospective tax legislation. Some of the points made by Gordon J included:…

Ernst & Young releases global survey on transfer pricing [87]

Ernst & Young has released its 2012 global transfer pricing tax authority survey: perspectives, interpretations and regulatory change. The survey reviews transfer pricing practices and attitudes in 48 jurisdictions with respect to a variety of topics, including penalties, transactions and industries of focus, dispute resolution options, and approaches to comparables benchmarking. Ernst & Young says…

Qld ex-gratia duty relief for those who lost their concession as a result of not building a house quickly enough [84]

The Qld Office of State Revenue (OSR) has issued Public Ruling DA085.2.1 (Transfer duty – relief for certain vacant land concession beneficiaries). The OSR says ex gratia relief from transfer duty will be considered, on a case-by-case basis, to extend the benefit of the first home concession and vacant land concession to transactions where the…

The Smith’s Snackfood Company Limited v Chief Comr of State Revenue (NSW) – NSW payroll tax: vending machine contractors, some services exempt [83]

The NSW Supreme Court has ordered that payroll tax assessments for the 2005 to 2009 years issued to a taxpayer be remitted to the Commissioner for redetermination in accordance with its findings. The taxpayer sells various snack foods and drinks through vending machines and engages independent contractors to, among various things, store, transport and restock…

Comr of State Revenue v Liquid Rock Constructions Pty Ltd – Vic payroll tax – Commissioner could not appeal decision that employers were not grouped, based on an alleged shared use of an employee [82]

In a decision handed down on Tue 7.8.2012, the Victorian Supreme Court has denied the Commissioner of State Revenue (Vic) leave to appeal, under s 148 of the Victorian Civil and Administrative Tribunal Act 1998 (Vic), from the orders of the Victorian Civil and Administrative Tribunal in a payroll tax grouping matter. The Tribunal confirmed…

Bilquip Pty Ltd & Ors v Chief Comr of State Revenue – NSW payroll tax: common directors, so grouping decision affirmed [81]

In a decision handed down on Thur 2.8.2012, the NSW Administrative Decisions Tribunal affirmed the Commissioner’s decision to group various car dealership companies (the taxpayers) for the relevant years for payroll tax purposes. In August 2009, the Commissioner issued assessments grouping I Co and B Co for the period 1 July 2004 to 30 June…