Category Archives: Tax Month – February 2012

*Healey v FCT – Trust agreed to buy shares and took a transfer 18 months later just prior to on-selling –No CGT discount as E2 event more specific than A1 and market value cost base (at later E2 time) not established [C7]

The Federal Court has held that a beneficiary of a trust was assessable on a capital gain of $14m to which she was presently entitled that arose from the sale of shares the trust had previously acquired under a “transfer agreement” for consideration of $3m – albeit, the shares were only transferred to the trust…

Verra Pty Ltd as trustee for the Pharmacies Services Trust & Ors v Comr of State Revenue – Qld payroll tax: pharmacies denied de-grouping discretion [St8]

The Qld Civil and Administrative Tribunal has confirmed the decision of the Qld Commissioner of State Revenue to deny the discretion to de-group 3 “independent pharmacies” from a group for payroll tax purposes thereby affirming payroll tax assessments issued for the 2003 to 2008 financial years. The case essentially concerned the controlling interests of 2…

Port Augusta Medical Centre Pty Ltd v Comr of State Taxation – SA payroll tax: medical services company grouping – taxpayer loses appeal [St7]

A taxpayer has been unsuccessful before the Full Court of the SA Supreme Court in its appeal against an earlier decision affirming the Commissioner’s decision to deny the de-grouping provisions contained in s 18I(1) of the Pay-Roll Tax Act 1971 (SA). The taxpayer had sought orders to exclude it from a group for SA payroll…

Kalomel Nominees Pty Ltd & Anor v Comr of State Taxation – SA land tax: previously granted PPR exemption cannot be revoked [St6]

The SA Supreme Court has set aside land tax assessments for the 2008-09 and 2009-10 financial years issued to a taxpayer (Kalomel) in relation to a property (a home). It also affirmed the principal place of residence (PPR) land tax exemption previously granted for those years, could not be subsequently revoked by the Commissioner. Kalomel…

O’Brien v Comr of State Revenue – WA land tax: primary residence exemption denied [St5]

The WA State Administrative Tribunal has affirmed the decision of the WA Commissioner of State Revenue to deny a taxpayer’s claim to the primary residence exemption as it found not all the criteria for the claimed exemption had been met. The taxpayer and his wife made a decision to sell their home and to purchase…

Hannagan v Chief Comr of State Revenue – NSW stamp duty: property transfer between spouses – assessment to be halved [St4]

The NSW Administrative Decisions Tribunal has held that the stamp duty exemption following a “break-up of marriage” under s 68 of the Duties Act 1997 (NSW) applied in relation to an ex-husband’s transfer of his interest in a family home to the taxpayer, but not the exemption for “transfers to married couples” under s 67…

Loyalty Connection Pty Ltd v Comr of State Revenue (Taxation) – Vic land rich provisions: “just and reasonable” exemption denied [St3]

The Victorian Civil and Administrative Tribunal has affirmed a stamp duty assessment of a taxpayer in relation to an acquisition of shares in 2 “land rich companies”. The background facts are complex. Broadly, the matter concerned the taxpayer’s acquisition on 25 June 2004 of the shares in the land rich companies. Before the Tribunal, the…

Aston (Aust) Properties Pty Ltd & Ors v Comr of State Revenue (Taxation) – Vic land tax and stamp duty: no existence of trusts, but related corporations, so grouping decision affirmed [St2]

The Victorian Civil and Administrative Tribunal has affirmed the Commissioner’s assessments made pursuant to the Land Tax Act 1958 (Vic), the Land Tax Act 2005 (Vic) and the Duties Act 2000 (Vic) in relation to 11 taxpayers who claimed to be trustee companies representing 67 trusts. Broadly, the taxpayers objected to grouped land tax assessments…

AES Wiring Pty Limited & Anor v Chief Comr of State Revenue – NSW payroll tax: penalty and interest for tax defaults affirmed [St1]

In a decision handed down on Wed 1.2.2012, the NSW Administrative Decisions Tribunal affirmed the Commissioner’s decision to impose 25% penalty tax and interest at market rate on 2 taxpayers with respect to a payroll tax default for the period 1 July 2006 to 30 November 2010 inclusive. The relevant decisions of the Commissioner resulted…

Renew tax agent and BAS agent registrations – time is running out! [has now run out…]

The Chairman of the Tax Practitioners Board (TPB) Dale Boucher has released his latest message reminding tax agents and BAS agents who became registered by notifying the Board to renew their registration before it expires on 1 March 2012. Mr Boucher is referring to tax agent and BAS agent “notifiers” who notified the Board that…