DCT v Lim – Director Penalty Notices (DPNs) for Company Superannuation Guarantee (SGC) shortfall validly served on company director – summary judgement given

On 26 July 2019, the District Court of Western Australia gave summary judgement in favour of the Deputy Commissioner of Taxation, in an action to collect amounts from an unrepresented person under the Directors Penalty Notice (DPN) proceedings.

See below for details.

FJM 6.8.19

[Tax Month – August 2019]

Should lawyers have to report ATO ‘Promoter Penalties’ activity to their legal regulator – a line by line analysis of the ATO’s reasons

In another Tax Technical article, I reported on the ATO proposal to amend the Legal Profession Uniform Law to require lawyers to disclose any action by the ATO against them, under the promoter penalties provisions in Division 290 of the Taxation Administration Act 1953 (TAA53). This includes the proposal itself. The ATO made about 2…

ATO proposal that lawyers must report Promoter Penalties involvement to their regulator – TASA parity or ‘over-reach’ – good policy or bad?

On 25 June 2019, the ATO made a submission to the Legal Services Council, that the Legal Profession Uniform Law be amended, to oblige affected lawyers, to disclose any involvement with the ‘Promotor Penalties Provisions’ in Division 290 of the Taxation Administration Act 1953 (TAA53), as a reportable ‘show cause event’ – putting their practising certificate…

Moreton Resources Limited v Innovation and Science Australia – pilot plants can be relevantly ‘experimental’ for R&D tax offset purposes

On 25 July 2019, the Full Federal Court made an important decision about Division 355 of the ITAA 1997, which sets out the requirements for a Research and Development Tax Offset. In essence it decided that a pilot plant could be relevantly ‘experimental’ and satisfy the requirements for the offset. See below for a summary…

Moreton Resources Ltd v Innovation and Science Australia – experimental activities may include the application of existing technology at a new site

On 25 July 2019, the Full Federal Court held that expenditure on a pilot plant could be relevantly ‘experimental’ so as to qualify as ‘core R&D activities’, for the purposes of Div 355 of the Income Tax Assessment Act 1997. See below for a more detailed analysis of this ‘core’ part of the Court’s decision,…

Zombie bill not dead – ‘main residence’ CGT threats revived for Australian and foreign expats

The hares were set running on Friday 5 July 2019, when the ABC reported the Federal Treasurer had confirmed the measures designed to deny non-residents the ‘main residence’ CGT exemption were still Government Policy (despite being announced in the 2017 Budget, introduced in February 2018 as the Treasury Laws Amendment (Reducing Pressure on Housing Affordability Measures…

Combatting Illegal Phoenixing Bill affects GST – estimates collectible, directors liable and another reason to delay refunds

On 4.7.19, the Government introduced the Treasury Laws Amendment (Combatting Illegal Phoenixing) Bill 2019 into the House of Representatives (see related Tax Technical article).  The Bill measures that impact GST – allowing the Commissioner to collect ‘estimates’ of GST, making directors liable for GST and further reasons to delay GST refunds. See below for a summary of these…

Combating Illegal Phoenixing Bill introduced – creditor defeating offences, director resignations, GST collections and refunds

The Government introduced the Treasury Laws Amendment (Combating Illegal Phoenixing) Bill 2019 into the House of Representatives on Thursday 4 July 2019. Amongst other things, it will affect the way that the Commissioner collects GST and pays GST refunds. See below for a summary of the 4 schedules and the start dates for these measures. FJM…