PR 2013/17-20 – Timber and almond projects; Westpac Protected Equity Loan [39]

The ATO on Wed 23.10.2013, issued the following Product Rulings: PR 2013/17 (AgriWealth 2014 Softwood Timber Project). According to this Ruling, a Grower can claim deductions for specified amounts (eg establishment services fees, etc) when they are paid to the Manager. It applies prospectively from Wed 23.10.2013, the date it was published. PR 2013/18 (Macquarie…

CR 2013/75 – The Imperial Tobacco Australia Limited Voluntary Early Retirement Scheme [38]

The ATO on Wed 16.10.2013, issued Class Ruling CR 2013/75 (The Imperial Tobacco Australia Limited Voluntary Early Retirement Scheme (VRS)). It applies from Wed 16.10.2013 to 28 February 2014. Broadly, the Ruling states that the early retirement scheme to be implemented is an early retirement scheme for the purposes of s 83-180 of the ITAA 1997. [LTN 200,…

TD 2013/21 – Tax consolidated group reporting – inconsistent methodologies for converting foreign currencies don’t qualify [36]

This TD, released on Wed 23.10.2013, says that a consolidated special purpose financial report of a head company of a tax consolidated group cannot satisfy clause 1.1 of Sch 2 to the Income Tax Assessment Regulations 1997 where transactions within the same category are translated using inconsistent methodologies. Clause 1.1 of Sch 2 to the Regulations allows…

TR 2013/6 – FBT – expenditure subject to Div 35 non-commercial loss deferral cannot give rise to a ‘once only deduction’ for ‘otherwise deductible’ purposes [34]

This Ruling, released on Wed 23.10.2013, sets out the Commissioner’s views on whether a “once only deduction” arises in calculating the taxable value of an “external expense payment fringe benefit” under s 24 of the Fringe Benefits Tax Assessment Act 1986 (FBTAA) where the expenditure associated with that fringe benefit would be subject to the loss…

Re Bai and FCT – the taxpayer is seeking to appeal the decision the objection be allowed only in part and remaining penalties would not be remitted [31]

The taxpayer has lodged an application for extension of time in which to lodge an appeal [to the Federal Court] against the decision in AAT Case [2013] AATA 612, Re Bai and FCT. In that case, the AAT concluded that the taxpayer’s objections to amended assessments should be allowed in part and specified which deposits…

SPI PowerNet Pty Ltd v FCT – Taxpayer appeals to Full Federal Court from decision that its s163AA payments to Vic Treasury were not deductible [30]

The taxpayer has lodged a notice of appeal to the Full Federal Court against the decision in SPI PowerNet Pty Ltd v FCT [2013] FCA 924. In that case, the Federal Court found that the imposts under s 163AA of the Electricity Industry Act 1993 (Vic) paid by a taxpayer to the Victorian State Treasurer were…