*Re Stewart and FCT – Value of stapled securities not assessable; not acquired as part of share scheme [29]

The AAT has found that stapled securities acquired by a taxpayer under a Senior Executive Option Plan (SEOP) were not assessable income, although it did confirm that the taxpayer was taxable on a discount of id=”mce_marker”52,400 that arose under s 139CC(4) of the ITAA 1936 in respect of the shares acquired under the SEOP. The Tribunal…

*Re Walters and FCT – AAT bound by declaration made on appeal by consent (but without reasons) [28]

In a highly technical procedural case, the AAT has accepted that it was clearly bound by a Declaration made by the Federal Court (Gordon J) on 17 October 2013 to the effect that the AAT did not have the power to review the Commissioner’s objection decisions in relation to amended assessments issued to the taxpayers and the imposition…

Re Allboat Transport Pty Ltd and FCT – No remission of administrative penalty for lack of reasonable care in reporting BAS liabilities [26]

The AAT has refused a taxpayer’s request seeking a remission of an administrative penalty. In September 2012, an administrative penalty (approx. id=”mce_marker”1,000) was imposed on the taxpayer on the grounds that the taxpayer had failed to take reasonable care. The penalty was issued after an ATO audit was completed, which had identified that in relation to 8…

*No deduction for legal expenses to fight ASIC banning order and criminal charges in 2011 (earlier private rulings did not bind the FCT) [25]

The AAT has found that legal expenses incurred by a taxpayer in challenging an ASIC banning order prohibiting him from providing financial services for 5 years and in defending criminal charges for alleged insider trading, were not incurred by him “in the course” of gaining or producing assessable income and therefore were not deductible under…

*Re Murray and FCT – Taxpayer had home in Bali, before being arrested on a visit back to Australia – held not resident during visit/detained years [24]

The AAT has held a taxpayer was not an Australian resident for tax purposes during the 2009 to 2011 income years. The Tribunal said there was little dispute about the underlying facts in the proceedings. In June 2006, after release from gaol for drug offences and having no assets, the taxpayer decided he had no future in…

*PTTEP Australasia (Ashmore Cartier) Pty Ltd v FCT – Determination of taxable profit under PRRTAA – crude price determined per contract [23]

The Federal Court has determined the taxing point and consideration receivable by a taxpayer in relation to revenue it received from the sale of petroleum under the Petroleum Resource Rent Tax Assessment Act 1987 (PRRTAA). The Court said the taxpayer was a participant in, and operator of, the Jabiru Challis-Cassini petroleum project in relation to several…

*IOOF Holdings Limited v FCT – Retrospective effect of consolidation amendment applied for taxpayer with private ruling in abeyance [22]

The Federal Court has dismissed the taxpayer’s appeal and confirmed the decision of the AAT at first instance in AAT Case [2013] AATA 239, Re IOOF Holdings Limited and FCT that for the purposes of undertaking its review of the Commissioner’s deemed disallowance of the taxpayer’s objection against the Commissioner’s failure to make a private…

*Hua Wang Bank Berhad & Ors v FCT (No 15) – Wickenby case: Court restricts use of evidence on basis of self-incrimination [21]

The Federal Court has granted 2 men certificates under the Evidence Act 1995 (Cth) in respect of evidence given by them in other proceedings. The certificates were to take effect on and from 2 October 2013. In its 8 October 2013 decision in Hua Wang Bank Berhad & Ors v FCT (No 9) [2013] FCA 1022, the Federal Court…

*FCT v AAT and Cancer and Bowel Research Association Inc as trustee for the Cancer and Bowel Research Trust – DGR status: AAT ‘decision’ to remit matter to Commissioner for reconsideration not appealable as its not final [20]

The Full Federal Court has unanimously dismissed the Commissioner’s appeal from the “decision” of the AAT in AAT Case [2013] AATA 336, Re Cancer and Bowel Research Association Incorporated as trustee for Cancer and Bowel Research Trust and FCT to remit to the Commissioner for further consideration the questions of whether the taxpayer was entitled…