Low income tax offset changes; new seniors and pensioners tax offset: regs amended [A17]

The following Legislative Instruments were registered on the Federal Register of Legislative Instruments on Mon 28.5.2012. They make amendments to the relevant principal regulations to, among other things, adjust the operation of the low income tax offset (LITO) and merge the senior Australians tax offset (SATO) and the pensioner tax offset (PTO) into the new…

*Corporations Amendment (Phoenixing and Other Measures) Act 2012 – gets Royal Assent [A15]

The following Bills all received Royal Assent on 26 May 2012 – they had passed all stages without amendment: Corporations Amendment (Phoenixing and Other Measures) Act 2012 – Act No 48 of 2012 – amendments include introducing an administrative process for compulsory external administration to facilitate payment of employee entitlements where a company has been…

*Deductibility of exploration expenditure on mining & petroleum extended to geothermal energy – draft legislation released [A14]

The Government has released draft legislation and explanatory material for the proposed amendments to extend the immediate deductibility of exploration expenditure provided to mining and petroleum explorers to geothermal energy explorers. This had been announced on 24 March 2011. The proposed amendments to the ITAA 1997 are designed to allow geothermal energy explorers to deduct…

Revised 2012 PAYG withholding schedules made by the Commissioner and entered on the Federal Register of Legislative Instruments [A12]

The Taxation Administration Act 1953 – Withholding Schedules 2012 were registered on the Federal Register of Legislative Instruments on Thur 24.5.2012. The 22 schedules make publicly available the withholding schedules, which the Commissioner is empowered to make, specifying the amounts, formulas and procedures to be used for working out the amount required to be withheld…

Effective Life of Depreciating Assets – new Determination made to commence on 1 July 2012 [A11]

The Income Tax (Effective Life of Depreciating Assets) Amendment Determination 2012 (No 1) was registered on the Federal Register of Legislative Instruments on Tue 8.5.2012. It amends the Income Tax (Effective Life of Depreciating Assets) Determination 2001 to provide taxpayers in specific industries (eg radio broadcasting, health and fitness centres and gymnasia operations, industrial gas…

*Legislative Instruments Amendment (Sunsetting Measures) Bill 2012 was introduced in the House of Reps – improvements on the existing 10 Year regime [A10]

The Legislative Instruments Amendment (Sunsetting Measures) Bill 2012 was introduced in the House of Reps on Wed 23.5.2012. Under the Legislative Instruments Act 2003, all regulations (including income tax and related regs) and other legislative instruments sunset, or cease automatically, after 10 years unless action is taken to exempt or preserve them. As set out…

*Income Tax (Managed Investment Trust Withholding Tax) Amendment Bill 2012 was introduced – to increase the withholding tax on MITs from 7.5% to 15% [A8]

The Income Tax (Managed Investment Trust Withholding Tax) Amendment Bill 2012 was introduced in the House of Reps on Thur 24.5.2012. It implements a 2012-13 Budget announcement by proposing amendments to the Income Tax (Managed Investment Trust Withholding Tax) Act 2008 to increase the Managed Investment Trust (MIT) final withholding tax from 7.5% to 15%…