SMSF Regulator’s Bulletin SMSFRB 2020/1 – SMSFs undertaking property developments: ATO flags concerns and lists a welter of tax and regulatory implications

On 13 March 2020, the Commissioner issued a SMSF Regulator’s Bulletin SMSFRB 2020/1, setting out the ATO’s concerns about self-managed superannuation funds (SMSFs) entering into certain arrangements, with related or unrelated parties, involving the purchase and development of real property for subsequent disposal or leasing. See below for further detail. [Tax Month – March 2020]…

WA Duty: Commissioner of State Revenue v Rojoda Pty Ltd – High Court analyses the rights of partners and held two remedial deeds dutiable as declaring trusts different to those the former partners had previously enjoyed

On 18 March 2020, the High Court decided (by majority of 4 to 1) that two deeds remedial deeds, that sorted out partnership interests in land, after one of 2 joint trustees died and one of 5 partners died, were dutiable because the created fixed interests, which were different from their former  interests as partners…

SWPD v CofT – long-term owner of largely native forest, who had not harvested any trees, held to be ‘carrying on a business’ and entitled to small business CGT relief

On 18 March 2020, the Administrative Appeals Tribunal (AAT) decided that A taxpayer who owned land containing native forest that was not harvested during his 24-year period of ownership was carrying on a business and therefore able to utilise the CGT small business concessions. See below for a summary of the case. [Tax Month – March…

Synthesised text of Australia’s double taxation agreement (DTA) with Canada with the MLI – released by the ATO

On Friday 20.3.20, the ATO released a synthesised text of Australia’s double taxation agreement (DTA) with Canada. It outlines the modifications that have been made to the DTA by the Multilateral Convention to Implement Tax Treaty Measures to Prevent Base Erosion and Profit Shifting (known as the ‘Multi-lateral Instrument’ or ‘MLI’) See below for an…

2020-21 Federal Budget deferred to 6 October 2020 – too much financial and budgetary uncertainty with COVID-19 right now

On Friday 20.3.20, the Prime Minster today announced that the 2020-21 Federal Budget will be deferred until Tuesday 6 October 2020 (instead of May 2020 as originally scheduled) given the ongoing uncertainty surrounding financial forecasts. Mr Morrison said he has spoken to the Leader of the Opposition, and thanked him for his support of these arrangements. [Tax Month –…

Superannuation Guarantee Amnesty – only runs for 6 months from 6 March 2020 – ‘real incentives’ to disclose and a ‘nasty sting in the tail’ for those who don’t

On 12 March 2020, accounting firm: Pitcher Partners put out a Critical Point Network Bulletin reminding readers that the Superannuation Guarantee ‘Amnesty’  started on 6 March 2020 and runs for only 6 months (6 Sept 2020) and covers a very long period – 1 July 1992 and 31 March 2018 (from the inception of the…