In a previous case: BCI Finances Pty Limited (in liq) v Binetter (No 4) [2016] FCA 1351, the liquidators of several companies were successful in obtaining orders of the Federal Court, that certain directors of the companies breached their fiduciary duty as directors, by engaging the companies in a scheme to evade tax, which in turn, resulted…
The following GST legislative instruments were registered on the Federal Register of Legislation on Wed 12.4.2017 & Thurs 13.4.2017: GST: Particular Attribution Rules for Banknote and Coin-operated Machines and Similar Devices Determination 2017 GST: Waiver of Requirement to hold a Tax Invoice Determination 2017 – Members of MasterCard International and Visa International – Bank Interchange…
The ATO has released the 2014-15 Taxation Statistics, revealing data on Australia’s most charitable individuals, highest earners and the richest postcodes. The latest report shows that with an average taxable income of $189,293, the postcode with the highest average taxable income was 2027, which includes the Sydney suburbs of Darling Point, Edgecliff, HMAS Rushcutters and…
The ATO has reminded taxpayers that the Government announced a franking measure in last years Mid-Year Economic and Fiscal Outlook, which was to have retrospective effect back to the date of the announcement: 12 noon, 19 December 2016. The substance of the announcement was that it would introduce a specific measure to prevent a company…
On Friday 7 April 2017, the Commissioner of Taxation issued a draft determination: the Taxation Administration (Remedial Power-Foreign Resident Capital Gains Withholding Tax) Determination 2017. This is a draft of the first determination under the Commissioner’s power, in s370-5 of Sch 1 to the TAA (TAA1) to remedy defects in the taxation law by making such a…
On 5.4.17, the Minister for Education and Training registered a legislative instrument: the GST-free Supply (Child Care) Determination 2017, to ensure that supplies of child-care remain GST-free. As a result of the introduction of the child care subsidy, new s38-150 of the GST Act ensures that, in limited cases where child care is provided by…
On 7.4.17, a Deputy Commissioner registered a legislative instrument: the PAYG Withholding variation for foreign resident capital gains withholding payments – income tax exempt entities to vary (under s14-235(5) of the TAA) the CGT, PAYG withholding obligations, down to nil, for vendors who are tax exempt. This is for an entity that provides the purchaser:…
The State Revenue Legislation Amendment Bill 2017 (NSW) was passed by the NSW Legislative Council without amendment on 4 April 2017 and received Royal Assent on 11 April 2017 as Act No 11 of 2017. It is an omnibus-style amendment Bill that makes a range of amendments to the Duties Act 1997, Land Tax Management Act 1956 and the Payroll Tax Act 2007. Among other things:…
On 5 April 2017, the Commissioner issued TD 2017/10, ruling that costs that a taxpayer incurs, after a CGT event happens, can still ‘relate to’ that CGT event under paragraph 110-35(1)(b) of the Income Tax Assessment Act 1997 (ITAA 1997) and thus be ‘incidental costs’ that can be counted in the ‘second element’ of an assets’…
On 5 April, 2017, the Inspector-General of Taxation (IGT), Mr Ali Noroozi, announced terms of reference for his review into the Goods and Services Tax (GST) refund verification process. Extract from the ‘Terms of Reference’ Historically, the ATO retained GST refunds, under its general powers of administration (s356-5 of the Sched 1 of the TAA),…
