*Tax and Superannuation Laws Amendment (2014 Measures No. 2) Bill 2014 – Anti-dividend washing, discontinued measures protection [2]

The following Bills have passed the House of Reps without amendment and now move to the Senate: Tax and Superannuation Laws Amendment (2014 Measures No 2) Bill 2014 – contains amendments to prevent dividend washing, protect taxpayers re anticipation of certain discontinued announcements, and changes to the Medicare levy low-income threshold for families. [LTN 107,…

Tax Month - June 2014

Estate of Erwin Binetter v FCT – assessments issued out of time for “fraud or evasion” held valid on the basis that the taxpayer had an onus (to show that the assessment was excessive) extends to this threshold issue

In 4 matters before the Full Federal Court involving amended assessments being issued to taxpayers “out of time” on the basis of “fraud or evasion”, the Court has unanimously confirmed that in the same way the onus of proof is on a taxpayer to show that an assessment is excessive, the onus of proof is…

Tax Month - December 2016

CR 2016/91-92 : Fleetsu FBT Vehicle Log Book System; St Peter’s College (Adelaide) deferred salary scheme

On Wed 7.12.2016, the Commissioner issued the following Class Rulings: CR 2016/91: FBT: employers using the Fleetsu Vehicle Log Book System for car log book and odometer records. It applies to employers who use the Fleetsu “vehicle log book system”. It applies from 1 July 2016 to 30 June 2021. CR 2016/92: Leave – Deferred Salary Scheme for employees…

Tax Month - December 2016

TD 2016/D6-D7 – The Commissioner’s view is that both a partnership with a corporate partner and a trust with a corporate beneficiary (including a discretionary trust) can have a ‘participation interest’ for exemption on distributions

On Wed 7 Dec 2016, the Commissioner issued 2 draft determinations concluding that first: a ‘partnership’ with a corporate partner and second, a trust with a corporate beneficiary, can have a ‘participation interest’. Draft Taxation Determination TD 2016/D6 asks: ‘where an Australian corporate tax entity is a partner in a partnership, can the partnership ‘hold’ a…

Tax Month - December 2016

LCG 2016/D10 – Superannuation reform: ‘non-commutable’ defined benefit income streams become taxable over $100k (1/16th of ‘transfer benefit account cap’) because the excess benefit could not be commuted

On 7 Dec 2016, the ATO issued Draft Law Companion Guideline LCG 2016/D10 headed: Superannuation Reform: defined benefit income streams – non-commutable, lifetime pensions and lifetime annuities’ ). This relates to $1.6m ‘transfer balance account cap’ introduced by the Treasury Laws Amendment (Fair and Sustainable Superannuation) Bill 2016 (which received Royal Assent on 29 November 2016). This Act introduced a system…

Tax Month - December 2016

*Implementation of FATCA in Australia – Regulation Impact Statement released, but post-implementation review ordered in 5 years [92]

The Office of Best Practice Regulation has released a Regulation Impact Statement, certified by Treasury, on the implementation of the US Foreign Account Tax Compliance Act (FATCA) in Australia. The agreement has been assessed as likely to have a major impact on the Australian financial sector with flow-on effects to the broader economy. A Regulation…

Tax Month - May 2014

Senate Committee FoFA inquiry – transcript of public hearing released [91]

The Senate Economics Legislation Committee has released a transcript from a public hearing held in Canberra on 22 May 2014 as part of its inquiry into the Corporations Amendment (Streamlining of Future of Financial Advice) Bill 2014. The Committee heard from a range of industry representatives, including Treasury, ASIC, Industry Super Australia, Financial Services Council, CHOICE, Financial…

Tax Month - May 2014