T a x T e c h n i c a l – M o n t h l y N e w s – July 2017 Developments – This is a collection of developments in Australian tax law and practice that occurred in July 2017 which aims to be relevant to tax practitioners.[i] Compiled By F John Morgan…
The ATO released Practical Compliance Guideline PCG 2017/13 on Wed 19.7.2017, provides guidance to trustees who, in accordance with Practice Statement PS LA 2010/4, validly adopted investment Option 1 before 1 July 2011 and placed funds representing an unpaid present entitlement (UPE) under a sub-trust arrangement on a 7-year interest only loan with the main trust. These arrangements will…
The ATO has released tailored advice to help those in the NFP sector understand if they have obligations under the Common Reporting Standard (CRS). The CRS is the single global standard for the collection, reporting and exchange of financial account information on foreign tax residents. The implementation of the CRS commenced in Australia on 1 July 2017.…
The ATO says companies can now start lodging with it their Country-by-Country (CbC) reporting statements – that is: the CbC report, master file and local file). The ATO warns it can only accept electronic lodgements using one of the following channels: Business Portal using file transfer; Tax Agent Portal using file transfer; Standard Business Reporting…
The ATO has announced it is investigating recent reports of 2 tax agents whose clients are reporting the receipt of an unexpected ATO refund into their bank account. It said there is no information to suggest ATO systems have been compromised. The impacted agents proactively contacted the ATO and the ATO says it is working…
On Friday 21.7.17, the Minister for Revenue announced the appointment of Mr Peter de Cure and Ms Ria Sotiropoulos, and the reappointment of Ms Julie-Anne Berry, as part-time members to the Tax Practitioners Board (TPB), each for a 3-year period. Mr de Cure has experience in taxation matters developed over a 25-year career with KPMG. Ms Berry…
On Fri 21.7.2017, APRA released a final Prudential Practice Guide on successor fund transfers and wind-ups (SPG 227) for RSE licensees that may be considering a merger or wind-up. APRA Deputy Chairman, Helen Rowell, said that consolidation in the superannuation industry is expected to continue. To this end, SPG 227 can assist RSE licensees when reviewing their…
Following media reports and enquiries from practitioners, the Tax Practitioners Board (TPB) has issued a statement to clarify the role of the TPB in the recognition of professional associations. Board Acting Chair Greg Lewis said the TPB accredits a number of recognised professional associations and by doing so provides their voting members an additional avenue to…
The ATO is seeking feedback on experiences in relation to garnishees and freezing orders. In particular, it would like responses to the following questions: What are your observations about the impact of our use of garnishees or freezing orders in relation to uncollected debt? Do you have any examples of where our use of either…
On Fri 21.7.2017, Treasury released a draft of the Treasury Laws Amendment (Reducing Pressure on Housing Affordability) Bill 2017 to implement two of the 2017-18 Budget measures related to housing affordability – being two that had to do with superannuation. Treasury also released draft legislation for other measures designed to reduce pressure on housing affordability recently (see related…