The ATO has released details of its approach to wealthy individuals and their private groups. The ATO says it was taking a “prevention-before-correction approach and ramping up face-to-face engagement with key taxpayers”. Acting Second Commissioner Michael Cranston said most wealthy individuals and their private groups do the right thing; however, some choose to avoid tax,…
Overview – This Taxpayer Alert describes arrangements where a private company with accumulated profits channels franked dividends to a self-managed superannuation fund (SMSF) instead of to the company’s original shareholders. As a result, the original shareholders escape tax on the dividends and the original shareholders or individuals associated with the original shareholders benefit as members…
The ATO, on Fri 17.4.2015, issued ATO ID 2015/9 (Superannuation Guarantee Scheme: attributed personal services income). The ID deals with the following question: Does attributed personal services income attract superannuation guarantee (SG) obligations on the part of the relevant personal services entity? The ID says no, except for actual salary or wages that are paid…
Treasury has published on its website the information released under FOI in relation to the Red Book (a brief prepared by Treasury for the returned Labor Government). Treasury says the Government is starting its 2nd term with an economy that is “performing strongly and approaching full employment”, but warns that it is not delivering in…
The ATO, on Wed 22.4.2015, issued the following Class Ruling and Product Ruling: CR 2015/28: Exchange of shares in Fiducian Portfolio Services Limited for shares in Fiducian Group Limited; and PR 2015/5: TFS Sandalwood Project 2015. [LTN 75, 22/4/15]
The ATO has released Product Ruling PR 2015/3 Income tax: deductibility of interest in relation to investment in units in the Macquarie Flexi 100 Trust issued on or before 30 June 2018 — Flexi Professional. The ruling applies prospectively from 1 April 2015. [IT, 1/4/15]
The ATO has issued the following class rulings: Class ruling CR 2015/24 Income tax: Calliden Group Limited Scheme of Arrangement and Special Dividend. The ruling applies from 1 July 2014 to 30 June 2015, and Class ruling CR 2015/25 Income tax: Calliden Group Limited Scheme of Arrangement — Special Dividend — Participants of the…
This Determination, issued on Wed 22.4.2015, states that the fact a company has issued a debt interest to a listed property trust within the same stapled property group will not of itself be sufficient to form a conclusion under para 974-80(1)(d) of the ITAA 1997 that there is a scheme, or a series of schemes,…
The taxpayer has applied for special leave to appeal to the High Court against the decision in FCT v Macoun [2014] FCAFC 162. The Full Federal Court had unanimously allowed the Commissioner’s appeal from an earlier AAT decision, effectively finding that an early retirement pension received by a resident taxpayer from the World Bank was…
The Qld Supreme Court has held that s 91(2) of the Associations Incorporation Act 1981 (Qld) (“AIA”) does not pick up and apply Pt 5.7B of the Corporations Act 2001, including s 588FF(1)(a), to the winding up of an incorporated association. The Court said when an association incorporated under the AIA is ordered to be wound up…