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

ASIC bans Melbourne adviser – advising to establish an SMSF, roll out super and invest into related party property developments or developers

On Friday 22 November 2019, ASIC issued a media release saying that it had banned financial adviser Jihad Soleiman, of Wollert, Victoria from providing financial services for six years, for advice to establish SMSF’s and invest in property. See below for the Media Release. [Tax Month – November 2019]    

‘Retirement income review’ consultation paper – building on the Productivity Commission’s superannuation report & investigating the “three pillars” of the retirement income system

Treasury has released a consultation paper as part of the Government’s Retirement Income Review which is seeking to establish a fact base on the operation of the current retirement income system. The review is being conducted by an independent panel chaired by Mr Michael Callaghan. See below for a summary of the Review and extracts…

Toowong Pastures Pty Ltd as Trustee for the DB Family Trust trading as KBE Contracting Australia [Pty Ltd – sic] v CofT – Super Guarantee payable for building site worker who was held NOT to be an independent contractor

The AAT has confirmed the ATO’s decision that a person who provided services as part of an asbestos removal/building renovations business was an employee and not an independent contractor. Accordingly, the employer was liable to superannuation guarantee charges amounting to some $15,000. See below for a summary of the case. [Tax Month – November 2019]

Bosanac v CofT – High Court refuses taxpayer’s Ceriorari application to quash lower court decisions in ATO’s favour – saying that Part IVC appeals can apply to post objection decision further amended assessments

A single judge of the High Court has refused to make an order quashing a Full Federal Court judgment upholding amended assessments for the 2006 to 2013 income years. The Taxpayer had commenced an action for Certiorari’ (in combination with a more conventional action, under Part IVC of the Federal Taxation Administration Act 1953 (TAA53)).…

SA Land Tax – Government does an Upper House cross-bench deal to further reduce land tax – including max rate down from 3.7% to 2.4% and threshold increased to $2m

On 25.11.19, the Marshall Liberal Government announced it had reached an agreement with the Hon John Darley MLC (the SA Upper House) to further enhance its land tax reform package in exchange for his support for the passage of the amended bill this week. See below for the announcement and a link to the Bill. [Tax…

Commissioner appeals Addy decision – backpackers from Chile, Finland, Germany, Japan, Norway, Turkey and the United Kingdom urged to wait and employers likewise

On 26.11.19, the Commissioner of Taxation advised that he would appeal the Federal Court’s decision, that held the ‘backpacker’ tax did not apply to a UK national on a working holiday visa – because it offended the ‘anti-discrimination’ provisions in the UK – Australia Double Tax Agreement. See related Tax Technical article. See below for…

The new Inspector General of Taxation and Taxation Ombudsman: Karen Payne addressed the Melbourne LCA Tax Committee on the nature, role and priorities of the IGTO, particularly under her new tenure

On Friday 22.11.19, the new Inspector General of Taxation and Taxation Ombudsman (IGTO): Karen Payne addressed the Melbourne Tax Committee of the Law Council of Australia at one of their monthly meetings, and gave a presentation about the nature, role and priorities of the IGTO, particularly under her new tenure. This included a slides from…

Private Groups Stewardship Group – provides committee members with ATO’s ‘notification of clients’ and ‘typical questions’ to engage with ‘High Wealth Private Groups’

On 25.11.19, the ATO gave Private Groups Stewardship Group (PGSG) members examples of the form by which tax agents would be notified of their ‘High Wealth Private Group’ clients, with whom they wished to ‘engage’ and a list of the typical questions they might be asked. See below for the email and those documents. [Tax…

Addy v Commissioner of Taxation – Statement from ATO on effect of DTA ‘anti-discrimination’ invalidity of ‘backpacker’ tax, whilst Commissioner decides if he’ll appeal

Two days after the Federal Court decided that the ‘backpacker tax’, imposed on a UK working holiday maker, was ineffective (as a breach of the UK-Aust Double Tax Agreement ‘anti-discrimination’ provisions), the Commissioner issued his 1 November 2019 statement, on the effect of this case. This was whilst he worked out if he would appeal…

FCT v Iannuzzi (No 2) – Liquidator disqualified for 10 years for systematic conduct facilitating ‘illegal phoenixing’ which was at least ‘reckless’

On 7 November 2019, the Federal Court disqualified a registered liquidator, from acting in that capacity for 10 years, as a result of systematic negligence involving the liquidation of some 23 companies. See below for a summary of the case and the Commissioner’s media release. [Tax Month – November 2019]