The ATO on Wed 14.3.2012, issued the following Class Rulings: CR 2012/15: Return of capital – UXC Limited. It applies from 1 July 2011 to 30 June 2012. The Ruling broadly states that the return of capital to UXC shareholders is not a dividend as defined in s 6(1) of the ITAA 1936. CR 2012/16:…
This Draft TD, issued on Wed 28.3.2012, provides the Commissioner’s preliminary views as to whether a New Zealand citizen who was present in Australia on a Special Category Visa but departs Australia, still holds a temporary visa for the purposes of para (a) of the definition of “temporary resident” contained in s 995-1(1) of the…
The Tax Office on Wed 28.3.2012, released 5 determinations dealing with FBT rates, thresholds, etc for the 2012-13 FBT year (ie the FBT year commencing on 1 April 2012). TD 2012/3: the record-keeping exemption threshold is $7,642. TD 2012/4: the indexation factors for valuing non-remote housing are: NSW – 1.060; Vic – 1.040; Qld –…
This Determination, released on Wed 7.3.2012, states that Pt IVA of the ITAA 1936 can apply to deny a deduction for some, or all, of the interest expense incurred in respect of an “investment loan interest payment arrangement” of the type described in the Determination. The Determination was previously released as Draft TD 2011/D8, and…
This Draft TR, issued today [Wed 28.3.2012], provides the Commissioner’s preliminary views of the meaning of “income of the trust estate” in Div 6 of Pt III of the ITAA 1936 and related provisions. The ATO said there is no set or static meaning of the expression “income of the trust estate” as used in…
The ATO on Mon 19.3.2012, released a Decision Impact Statement on the Full Federal Court’s decision in Leighton v FCT [2011] FCAFC 96. In that case, the Full Federal Court held that a non-resident individual was not liable to be assessed under the former s 98(3) of the ITAA 1936 in relation to trading activities…
The ATO on Thur 8.3.2012, released a Decision Impact Statement on the decision in AAT Case [2011] AATA 897, Re Newton (t/as Combined Care for the Elderly) and FCT. In that case, the AAT affirmed that the taxpayer was liable to super guarantee charge (SGC) as the workers in question were not independent contractors and…
The taxpayer has appealed to the Full Federal Court against the decision of Logan J in FCT v Interhealth Energies Pty Ltd as Trustee of the Interhealth Superannuation Fund [2012] FCA 120. The Federal Court had found a corporate trustee of an SMSF had breached an enforceable undertaking under the SIS Act and ordered it…
The Supreme Court of Queensland has held that a garnishee notice issued under s 260-5 of the TAA in respect of a debt owed by a third party to a taxpayer, does not give the Commissioner a proprietary interest in the debt. Instead, the Court found that the Commissioner has a statutory charge over the…
The NSW Court of Criminal Appeal has dismissed a taxpayer’s appeal against his conviction and sentencing for money laundering and tax fraud offences. The Court said that, in November 2010, the appellant was found guilty by a jury in the NSW Supreme Court on one count of “money laundering”, contrary to s 400.3(1) of the…