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

*Pratt Holdings Proprietary Limited v FCT – Taxpayer seeks leave to appeal decision denying balancing charge losses on mining tenement [26]

The taxpayer has applied for special leave to appeal to the High Court against the decision of the Full Federal Court in Pratt Holdings Proprietary Limited v FCT [2013] FCAFC 82. In that case, the Full Court unanimously dismissed an appeal by the taxpayer and confirmed that it was not entitled to deduct a loss…

*Sea Shepherd Australia Ltd v FCT & Anor – Taxpayer seeks leave to appeal decision finding them not a ‘Deductible Gift Recipient’ or ‘DGR’ [25]

The taxpayer has applied for special leave to appeal to the High Court against the decision of the Full Federal Court in Sea Shepherd Australia Ltd v FCT & Anor [2013] FCAFC 68. In that case, the Full Federal Court, in a 2:1 majority decision, affirmed the Commissioner’s decision that Sea Shepherd Australia was not…

*Resource Capital Fund IV LP & Anor v FCT & Anor – Commissioner appeals against decision that s255 notice didn’t apply and no tax to pay either [24]

The Commissioner has appealed to the Full Federal Court against the decision of Edmonds J in Resource Capital Fund IV LP & Anor v FCT & Anor [2013] FCA 801, reported at 2013 WTB 36 [1598]. In that decision, s 255 notices requiring a company to retain out of Canadian currency sufficient funds to meet a taxpayer’s…

DCT v Ramon Ronald Osborne as trustee for the Osborne Family Trust – Claim of not being a trustee failed and taxpayer jointly liable for RBA debt with wife [23]

An individual (the taxpayer) has been unsuccessful before the WA District Court in arguing that his former wife, and not himself, was the sole trustee of a family trust at all material times. The Deputy Commissioner had claimed monies were due and owing by the taxpayer pursuant to a running balance account (RBA) in the…

*Re The Trustee For The Confidential Trust and FCT – AAT has no power to stay operation of objection decision [21]

The AAT has held it has no power to stay the operation or implementation of the Commissioner’s objection decision which disallowed a trustee’s objection to the assessments issued to 2 minor beneficiaries of a trust. The beneficiaries of the trust are the trustee’s 2 daughters. On 11 March 2013, the Commissioner issued a notice of assessment to…

*Re ACN 092 138 442 Pty Ltd (In Liquidation) and FCT – Director to obtain leave before commencing proceedings against objection decision [20]

In a procedural matter, the AAT has held that a director of the taxpayer (in liquidation) lacked authority to commence proceedings before it in the name of the taxpayer, but that steps may be taken, which must be pursued in a timely manner, to remedy the lack of authority. In doing so, the AAT made no orders.…

*Re Perry and FCT – Work-related deduction claims unsubstantiated, so penalty for “recklessness” confirmed [19]

In a decision handed down on Fri 20.9.2013, the AAT affirmed the Commissioner’s decision refusing a taxpayer’s claim for tax deductions for the relevant year. In doing so, it also affirmed the imposition of 50% penalty on the shortfall amount for “recklessness”. The taxpayer’s tax return for the 2011-12 tax year was lodged with the…