On Thur 11.11.2021, the ATO released an updated version of Practical Compliance Guideline PCG 2017/2, which gives eligible entities various simplified transfer pricing record-keeping options, including for low-level inbound and outbound loans. In relation to the inbound loan option, one of the eligibility requirements is that the interest rate for small related party inbound loans…
The Supreme Court of NSW held that the taxpayer was not liable to payroll tax on the amounts it paid, to third party suppliers of persons, under the ’employment agency contract provisions in s37 of the NSW Payroll Tax Act 2007. The taxpayer provided security style services to its clients. The key was that the…
On 4.11.21, the Federal Court rejected the ATO’s interpretation of the word “school” in setting aside an ATO decision disallowing the Buddhist Society of Western Australia’s objection to a decision to revoke its status as a deductible gift recipient as a ‘school building fund’. The Buddhist Society of Western Australia (“the Society”) was endorsed as…
High Court judge Simon Steward has had a rocky start to his new job, with his colleagues overruling him in a series of tax cases from his time on the Federal Court. Justice Steward, who was lauded as a revenue law expert when he took up his seat on the court in December, has had…
Summary of Victorian Bar’s Submission to The Department of Health and Expert Reference Group on The Public Health and Wellbeing (Pandemic Management) Bill 2021 The Victorian Bar has provided a submission to the Department of Health and an Expert Reference Group following a briefing on 3 November 2021 in relation to the Public Health and…
A new civil federal jurisdiction will begin operating shortly at the Magistrates’ Court of Victoria (MCV). This jurisdiction will hear some applications previously heard by VCAT. The change follows a Court of Appeal ruling in Meringnage v Interstate Enterprises & Ors [2020] VSCA 30. The Court found that VCAT is not a court of a state, meaning it cannot…
APRA has published an Information Paper on the performance of choice superannuation products ahead of its first Choice Product Heatmap to be released in late 2021. APRA said the Choice Heatmap will be an important pre-cursor to the annual performance test for trustee-directed products that will be applied from 1 July 2022. APRA said the paper has highlighted…
A taxpayer has failed to discharge its onus to prove that amended GST assessments were excessive or otherwise incorrect in respect of unexplained bank deposits. The taxpayer’s main business activity was described as “management consulting services”. The ATO considered that unexplained bank deposits were unreported consideration for taxable supplies. The taxpayer contended they related to…
On 3 Nov 2021, the Federal Court has upheld an AAT decision rejecting the taxpayer’s contention that he was required to prove only that discrete amounts of additional assessable income included in amended assessments were not assessable. The taxpayer sought judicial review of the AAT’s decision, contending that the AAT had no jurisdiction to consider any…
The Australian Bureau of Statistics (ABS) has released the CPI index number of 119.7 for the September quarter 2021 (up from 118.8 for the June 2020 quarter). The CPI rose 0.8% for the September 2021 quarter. The most significant price rises were for New dwelling purchases by owner-occupiers (+3.3%) and Automotive fuel (+7.1%). Over the year to the September 2021 quarter, the CPI is…