Spencer v CofT – AAT significantly reduced the amount of work-related expenses the taxpayer could deduct

On 3.5.21, the AAT handed down a decision substantially reducing the amount of work related expenses claimed by the taxpayer – business travel, protective clothing and internet/mobile costs. See below for further details. [Tax Month – May 2021]     The facts were these. The taxpayer was a “Water Services Operator, Service Delivery” employed by…

When is the Commissioner of Taxation required to give a taxpayer reasons? – An article by the Inspector General and Taxation Ombudsman

You might think you know when the Commissioner is obliged, by law, to give you reasons for a decision he’s made, but you won’t know it as well as the Inspector-General and Tax Ombudsman (IGTO) have essayed, in the following article, they developed and published on the taxpayer’s right to receive reasons for decision from…

A ‘blueprint’ for wasting less time and money on individual’s tax returns – standard ‘work related expense’ deductions (with an option to claim more if you can)

On Friday 7.5.21, The Tax Institute’s Director, Tax Policy and Technical: Andrew Mills, published a Report in their weekly TaxVine newsletter (#16), about the ‘work related expense’ debate – and in particular, a not new idea of having a standard deduction (set as high as $3,000 this time) with an option to claim higher deductions, if…

Small business (sub-$10m turnover) will be able to pause disputed ATO debt recovery actions by applying to the AAT (Small Business Division)

On 10 May 2021, the Treasurer announced that, as part of the 2021-22 Budget, the Morrison Government will allow small businesses to apply to the Administrative Appeals Tribunal (AAT) to pause or modify ATO debt recovery actions where the debt is being disputed in the AAT. See below for further details. [Tax Month – May…

NSW landholder duty – SPIC Pacific Hydro Pty Ltd v Chief Comr of State Revenue – duty payable on acquisition of group with interests in leasehold land after considering ‘tenants fixtures’

The NSW Supreme Court has held that a taxpayer which acquired a group which operated a wind farm on leased land was liable to pay landholder duty. The case involved a consideration of ‘tenants fixtures’ and ‘net present value’ as a means of deterring the taxable value. See below for further details. [Tax Month –…

Vic land tax: University of Melbourne v Comr of State Revenue – University land used to provide student accommodation, through a commercial ‘builder operator’ exempt – charitable exemption still applies

The Supreme Court of Victoria has held that land owned the University of Melbourne, and used to provide student accommodation, was exempt from land tax under an ‘charitable exemption’, despite the fact that the accommodation was provided by a ‘for profit’ student accommodation specialist, which leased the land for 38 years, paying a peppercorn rent,…

Further insolvency reforms – insolvent trusts, insolvent trading ‘safe-harbour’; moratoriums whilst negotiating schemes of arrangement; and increase in ‘statutory demand’ threshold

On 3 May 2021, the Treasurer announced further insolvency law reform involving how trusts are treated, the ‘insolvent trading safe-labour changes and a moratorium on collection actions whilst a scheme of arrangement is in force. It will also increase the size of the debt, that can trigger a ‘statutory demand’ for payment (on pain of…

2021-22 Budget: Treasurer “committed to” Stage 3 tax cuts (30% out to $200k) and excise refund cap to be tripled to $350k, for small brewers and distillers

In the lead up to the 11 May 2021 Federal Budget, the Treasurer announced that the current income tax rates would remain until 2024/25, when the ‘Stage 3’ extension of the 30% rate, would apply all the way up to $200,000. He also signalled that small scale brewers and distillers would have their excise cap…

Business backs Frydenberg’s ‘Sensible’ proxy advice measures – Proxy advisers associated with Super Funds squealing about the need to be independent

The Treasurer recently announced (see related TT article) consultation on measures to make proxy advisers more accountable for their advice and super funds more accountable for how they exercise that advice (at company shareholders meetings). There has been a war of words between the Companies, the subject of that advice and the advisors complaining about…