Reform of the superannuation fund ‘Non-arm’s Length Expenditure (NALE) rules (finally)- Consultation Paper released

On Tuesday 245.1.23, the Government released a consultation paper on options to amend the non-arm’s length expense (NALE) provisions for superannuation funds – which advisers in the Superannuation space, have been ‘baying’ for, for years – especially for large funds, where just a little expenditure breach, could ‘taint’ the whole of the fund’s income (even…

PwC International Tax Partner deregistered as a ‘tax agent’ – but before we rush to judge …

On 23.1.23, the press sensationally reported that the former PwC international tax partner (and Tax Institute 2016 ‘Corporate Tax Adviser of the Year) had been deregistered by the Tax Practitioners Board (TPB) and PwC had been sanctioned too (see related TT article). Further, the Assistant Treasurer weighed in, to put Tax Practioners ‘on notice’ regarding…

PwC international tax partner and Tax Institute 2016 ‘Corporate Tax adviser of the year’ – deregistered by TPB and PwC sanctioned also

On 23.1.23, the AFR reported that the former head of international tax for PwC Australia: Peter Collins, had been deregistered by the Tax Practitioners Board for dishonesty and for sharing confidential government briefings with PwC partners and clients. Mr Collins, also known as Peter-John Collins, was named corporate tax adviser of the year by the…

Treasury and ATO may ‘re-think’ private sector consultation after PwC breach & TPB deregistration

On Monday, 23.1.23, the AFR reported the Assistant Treasurer; Stephen Jones as saying the government may rethink its approach to consulting with tax professionals but did not rule out continuing to use PwC despite the firm and its former head of international tax being sanctioned for breaching confidentiality rules. Mr Jones declined to say if…

APRA releases updated ‘MySuper’ (default fund) HEATMAP – which have been useful in eradicating poor performance and holding trustees to account

On 15 December the Australian Prudential Regulation Authority (APRA) released its 2022 MySuper (default fund) Heatmap together with the following ‘Media Release‘. See, also, related TT article with details about ‘the good, the bad and the ugly’ (to borrow a phrase). The heatmap evaluates every MySuper superannuation product’s performance in the areas of investment returns, fees and…

APRA’s December 2022 superannuation fund performance ‘heat map’ – see which ‘default funds’ are good and bad

On 15 December 2022, APRA released its annual superannuation fund ‘heat map’ providing detailed information and ranking superannuation funds. At the same time, it issued a ‘Media Release’ (see related TT article). It seems that ‘for profit’ funds and trustees are overly represented in those that are performing poorly. The following is based on an…

FCT v Landcom – GST margin scheme applies separately to each of the 4 lots sold under a single contract – protecting the State corporation from GST on some of those lots

The Full Federal Court has upheld a decision that the proposed sale, by a State-owned corporation, of the freehold interests in 4 lots, under a single contract, would NOT be a single supply for the purposes of the margin scheme, and thus allowed the relevant margin scheme provisions, to apply favourably (or not) on a…

PCG 2018/9 updated – extension of time for foreign-incorporated ‘non-resident’ companies to change their CM&C out of Australia – 30 June 2023 is last extension

The ATO issued an updated version of PCG 2018/9 on 22 December 2022. This guidance sets out a transitional compliance approach for companies that treated themselves as foreign residents on the basis of withdrawn TR 2004/15 but qualify as residents under the replacement ruling, TR 2018/5, due to their central management and control being in Australia. In…

Doubling of foreign investment residential land penalties – starting 1 January 2023

The Treasurer has issued a media release advising that penalties for investors who break foreign investment laws for residential property have been doubled, with effect from 1 January 2023. Under Australia’s foreign investment framework, foreign persons seeking to purchase residential real estate in Australia generally need to apply for foreign investment approval. This applies to new dwellings,…