CR 2016/29 & 30 – Bank clients using their debit card for entertainment fringe benefits and the application of the ‘scrip for scrip’ rollover provisions to the acquisition of ‘Recall Holdings Limited’

On Wednesday 18.5.15, the ATO issued the following Class Rulings: CR 2016/29: FBT: employer clients of Community Sector Banking Pty Ltd who are subject to the provisions of either s57A (exempt benefits for PBI’s, hospitals etc.) or s65J (about rebatable employers) of the FBTAA that make use of a B-Entertained MasterCard debit card facility. It applies from 1 April 2016…

No ‘backpacker tax’ on 1 July 2016 – Government will review this proposed measure and enact any change prospectively

The Deputy Prime Minister and Minister for Agriculture and Water Resources: Barnaby Joyce announced that a re-elected Turnbull-Joyce Government would not enact the ‘backpackers tax’ retrospectively back to 1 July 2016 (the date it was announced to commence). [The so-called “backpacker tax” is the Government’s 2015-16 Budget proposal to remove the tax-free threshold for overseas working holidaymakers in Australia with…

Bell Group companies in liquidation – WA legislation to give the WA Government discretion as to how to distribute the proceeds of the liquidations held to be unconstitutional as inconsistent with Federal tax legislation

On Monday 16.5.16, the High Court unanimously held that the Bell Group Companies (Finalisation of Matters and Distribution of Proceeds) Act 2015 (WA) (the “Bell Act“) is invalid in its entirety by the operation of s109 of the Constitution because of inconsistency between its provisions and provisions of the Income Tax Assessment Act 1936 and the Taxation Administration Act…

Greens oppose backpacker tax

The Australian Greens have announced that they oppose the so-called “backpacker tax” (ie removing the tax-free threshold for overseas working holidaymakers in Australia with effect from 1 July 2016), saying it would unfairly impact on farmers and growers. Australian Greens spokesperson on Agriculture Senator Rachel Siewert said that “growers rely on working holiday makers for key seasonal work, such…

NSW payroll tax – Namoi Tyreright Pty Ltd v Chief Comr of State Revenue – discretion to degroup refused because business was not independent and of connections to others in the group

On Friday 13.5.2016, the NSW Civil and Administrative Tribunal affirmed a decision of the NSW Commissioner, refusing to exclude a taxpayer from a payroll tax group, pursuant to s 79 of the Payroll Tax Act 2007 (NSW). In August 2014, the Commissioner issued payroll tax assessment notices to the taxpayer in respect of the period 17 April 2012 to 30 June 2014. The assessments…

NSW: State Revenue Legislation Amendment Bill 2016 – receives Royal Assent – various tax changes included

The State Revenue Legislation Amendment Bill 2016 (NSW) received Royal Assent, as Act No 14 of 2016, on Wed 11.5.2016. It had passed all stages without amendment. The key amendments are as follows: amends the Duties Act 1997 (NSW) to: (i) make further provision relating to exemptions from duty for corporate reconstruction transactions; and (ii) provide for a reduction in…

NSW Amendments designed to feed information to the ATO for data matching and the ‘National Register of Foreign Ownership of Land Titles’

The Taxation Administration Amendment (Collection and Disclosure of Information to Commonwealth) Bill 2016 (NSW) was introduced in the NSW Legislative Council on 10 May 2016. The object of this Bill is to amend the Taxation Administration Act 1996 (NSW) to enable the NSW Chief Commissioner of State Revenue (the Chief Commissioner) to collect, and disclose to the Commissioner of Taxation…