Amendments contained in the Tax Laws Amendment (2013 Measures No 2) Act 2013 require that, from 1 January 2014, corporate tax entities (including companies, corporate limited partnerships, corporate unit trusts or public trading trusts defined in s 960-115 of the ITAA 1997) who have base assessment installment income over a $1bn threshold will need to start paying monthly…
The ATO on Wed 10.7.2013, released the following Class Rulings. They broadly state that the early retirement scheme to be implemented is an early retirement scheme for the purposes of s 83-180 of the ITAA 1997. CR 2013/51: Early retirement scheme – South Australia Department for Education and Child Development; CR 2013/52: NRMA Motoring Services Early…
This Determination, released on Wed 3.7.2013, sets out the amounts the Commissioner considers are reasonable for the 2013-14 income year in relation to claims made for: overtime meal allowance expenses – the amount is $27.70; domestic travel allowance expenses. The reasonable amounts are given for: (i) accommodation at daily rates (for domestic travel only); (ii)…
The ATO on Fri 12.7.2013, released ATO ID 2013/42 (FBT: exempt benefits: employer provided housing through unrelated third party). The ID says in determining whether the provision of accommodation to an employee is an exempt residual benefit under s 47(5)(ba)(i) of the FBTAA, the transitional provisions are met where the accommodation is provided by an unrelated…
The ATO on Wed 3.7.2013, released the following Class Rulings: CR 2013/48: Exchange of shares in Bathurst Resources Limited for shares in NZ NewCo. It applies from 1 July 2012 to 30 June 2014. Broadly, the Ruling states that participating shareholders will be eligible to choose roll-over relief in relation to the exchange of shares to disregard any capital…
The ATO on Thur 11.7.2013, released a Decision Impact Statement on the High Court’s decision in FCT v Bargwanna & Anor as Trustees of the Kalos Metron Charitable Trust (2012) 82 ATR 273. In that case, the High Court unanimously allowed the Commissioner’s appeal and held that the taxpayer trustees’ administration of the Kalos Metron…
The ATO on Wed 31.7.2013, issued 2 Decision Impact Statements on: Weeks v FCT [2013] FCAFC 2 – In that case, the Full Federal Court unanimously dismissed a taxpayer’s appeal and confirmed that a termination payment made to her because her services could no longer be effectively utilised by her employer was not a “genuine…
The ATO on Wed 31.7.2013, released the following Class Rulings: CR 2013/56: Treatment of transfer payments to employees of NSW Roads & Maritime Services following the outsourcing of road maintenance operations to a private operator. It applies from Wed 31.7.2013 to 30 June 2015. Broadly, the Ruling states that the proposed transfer payment is in consequence of…
The NSW Supreme Court has held that solicitors who advised Mr John Symond, founder of “Aussie Home Loans”, were negligent in the advice they gave him in relation to a revised ownership structure to allow him access to funds in a tax advantageous manner for the construction of his new home but which, instead, resulted in a significant…
The ATO on Mon 22.7.2013, released a Decision Impact Statement on the Full Federal Court’s decision in Rawson Finances Pty Ltd v FCT [2013] FCAFC 26. In that case, the Full Federal Court allowed a taxpayer’s appeal and held that amounts deposited in the taxpayer’s bank account from an overseas bank was not income but…