John Morgan is a tax specialist lawyer of more than three decades experience now practicing at the Victorian Bar - w: www.FJMtax.com e: f.john.morgan@vicbar.com.au

The PwC story keeps giving – the battle between the ATO and the TPB over their investigation of leaked confidential Treasury information

Since about this time last year (late January 2023), the PwC leaks saga has been the ‘story that keeps on giving’. Whilst talking with colleagues, when this story was just breaking, one well placed person said that there was as much going on in the Australian Taxation Office (ATO) as outside it. And now (a…

Federal Budget – new tax rates (Stage 3 cuts remain), revised Medicare exemption thresholds and new Medicare lump sum arrears exemption

The Federal Budget papers contained the the tax rates for resident, non-resident, and working holiday makers, in the coming 2022-23 year and subsequent years (without flagging any reversal of the currently legislated ‘Stage 3’ tax cuts – which deliver a 30% tax rate from $45k to $200k of income. At the same time, the Government…

Overview of 2023 Australian Federal Budget Tax and Superannuation measures announced

On Tuesday 8 May 2023, the Federal Treasurer brought down the Government’s budget for the 2023-24 financial year, which included a number of tax and superannuation related announcements and macro-economic data and forecasts. Macro-economic overview A Budget surplus of $4.2bn is forecast in 2022-23, but an underlying cash deficit of $13.9bn is expected in 2023-24…

The 2023 Federal Budget – Small Business support; Pillar 2 (min 15% tax on worldwide earnings); additional 15% tax on earnings on super balances over $3m; expanded Part IVA (GAAP)

In their weekly email: TaxVine [16, 12.5.23], The Tax Institute announced their Federal Budget Report and provided a shorter summary. The Budget contained a greater number of measures compared with the budgets of recent years. However, most of these measures are limited in their scope and commonly lack the level of detail needed to better understand their impact…

Tax Month – May 2023

T a x  T e c h n i c a l  –  M o n t h l y  N e w s – May 2023 Edition – ‘Tax Developments’ for tax practitioners by a tax practitioner.   Compiled by F John Morgan A member of the Victorian Bar (www.FJMtax.com) Table of Contents ______________________________________________________________________________ COMPILING…

DIS on CoT v Guardian – Full Federal Court applied Part IVA but confirmed s100A did not apply (but it might in other circumstances)

On 24.4.23, the ATO issued a ‘Decision Impact Statement‘ on the effect of the Full Federal Court case of CofT v Guardian AIT Pty Ltd atf Australian Investment Trust [2023] FCAFC 3. This appeal was watched closely, as it involved the ‘Trust Stripping’ anti-avoidance provision” s100A of the ITAA36, which is rarely litigated. At first instance…

The consultation over the proposed ‘objective’ of super overlooks the existing legislation prescribing the ‘sole purpose’ of a complying superannuation fund

In The Tax Institute’s weekly TaxVine email (No.6, 1.3.23), Kym Bailey, CTA, Technical Services Manager at JBWere, and Chair of their National Superannuation Technical Committee, discusses the recent Government consultation on legislating a statement of the ‘objective’ of superannuation. Superannuation appears to be in the sights, of the Treasurer, with a clear indication, that he…

Section 100A ‘reimbursement agreements’ – recapping the section, the ATO guidance and some takeaways – TR 2022/4 & PCG 2022/2

In The Tax Institute’s TaxVine email [No.5, 24.2.23], their Tax Policy and Advocacy team reviews the application of section 100A of the Income Tax Assessment Act 1936 (ITAA1936) in light of the finalised ATO guidance and recent cases.   The end of the income year is approaching quickly. Practitioners and trustees will shortly be required to determine…