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

Australian Labor Budget (25.10.22) – Tax Administration – added scrutiny: multinationals, large public businesses, private businesses, black economy, personal income tax, tax agents, business registers, directors identification numbers

Tax Month - October 2022

Extend ATO compliance programs – Tax Avoidance Taskforce The Government will extend funding for the ATO Tax Avoidance Taskforce by around $200 million per year over a 4-year period from 1 July 2022. The Government will also extend the taskforce for a further year from 1 July 2025. Since 2016, the Government has provided the…

Australian Labor Budget (25.10.22) – International Tax – Thin cap (EBITDA); low tax intangibles; multinational transparency; crypto tax treatment; Iceland Treaty; Bhutan diplomatic exemptions

Tax Month - October 2022

Multinational Tax Integrity Package – amending Australia’s interest limitation (thin capitalisation) rules The Government announced that it will amend the thin capitalisation rules to address risks to the corporate tax base arising from the use of excessive debt deductions. This measure will apply to income years commencing on or after 1 July 2023. The current…

Australian Labor Budget (25.10.22) – Superannuation – CGT ‘down-sizer’ relief extended; Age pension means test relief

Tax Month - October 2022

Superannuation – expanding eligibility for downsizer contributions The Government will reduce the minimum eligibility age to make downsizer contributions into superannuation from 60 to 55 years with effect from the start of the first quarter after Royal Assent of the enabling legislation. There are no changes to the remaining current downsizer eligibility criteria. The downsizer…

Australian Labor Budget (25.10.22) – Business Tax Issues – off-market share buybacks, intangibles, low emission car exemptions, Covid benefits NANE

Tax Month - October 2022

Improving the integrity of off-market share buy-backs The Government will align the income tax treatment of off-market share buy-backs undertaken by listed public companies with the treatment of on-market share buy-backs. This measure is aimed at improving the tax integrity of such transactions to ensure they are not used to obtain a tax advantage for…

High court backs woman against ATO claim on home – not so much because of the 15th-Century presumption

Tax Month - October 2022

On 12.10.2022, the AFR’s Michael Pelly reported that a Perth woman had blocked the Tax Office from making a claim on her family home, to settle her former husband’s debt as part of a High Court victory which preserved an antiquated and “discriminatory” legal principle. The court ruled on Wednesday that Bernadette Bosanac did not hold half…

Bosanac v Commissioner of Taxation – Wife of taxpayer succeeds – High Court clarifies the ‘presumption of advancement’

Tax Month - October 2022

On Wednesday 12.10.2022, the High Court unanimously allowed an appeal from the Full Court of the Federal Court of Australia deciding that the the appellant (“Ms Bosanac”) did NOT hold half of her interest in a residential property (“the Property”) on trust for her husband, the second respondent (“Mr Bosanac”) who owed the Commissioner money for…

PCG 2022/1 – non-commercial loss rules – practical relief for those affected by floods, bushfires and COVID-19

Tax Month - October 2022

In The Tax Institute’s TaxVine email (#37, 7.10.22), their Tax Counsel, Julie Abdalla FTI, examined the non-commercial loss (NCL) rules and how the ATO’s recent Practical Compliance Guideline PCG 2022/1 (PCG) intends to relieve the burden on taxpayers impacted by floods, bushfires or COVID-19. The PCG provides a safe harbour for taxpayers from the 2019–20…

Tax Month – October 2022

Tax Month - October 2022

T a x  T e c h n i c a l  –  M o n t h l y  N e w s – October 2022 Edition – ‘Tax Developments’ for tax practitioners by a tax practitioner.   Compiled by F John Morgan A member of the Victorian Bar (www.FJMtax.com) Table of Contents ______________________________________________________________________________  …

Tax Month – September 2022

Tax Month - September 2022

T a x  T e c h n i c a l  –  M o n t h l y  N e w s – September 2022 Edition – ‘Tax Developments’ for tax practitioners by a tax practitioner.   Compiled by F John Morgan A member of the Victorian Bar (www.FJMtax.com) Table of Contents ______________________________________________________________________________  …