The AAT has affirmed the decision of the Commissioner to issue an excess contributions tax (ECT) assessment to a taxpayer after finding there were no “special circumstances” to exercise the Commissioner’s discretion under s 292-465(1) of the ITAA 1997 to allow the reallocation of concessional super contributions to prior financial years. During the relevant period,…
The AAT has found a taxpayer had exceeded the relevant concessional contributions cap for the 2007-08 year and therefore affirmed the imposition of excess contributions tax. It also held there were no “special circumstances” present in the case to allow the Commissioner’s discretion (contained in s 292-465 of the ITAA 1997) to disregard or reallocate…
The AAT has confirmed that the applicant, the trustee and member of an SMSF, was in breach of the payment standards prescribed under s 31(1) of the Superannuation Industry (Supervision) Act 1993 by making a payment of $20,000 to himself without satisfying the “retirement” condition of release. The AAT ruled that it was not appropriate…
The AAT has affirmed that a taxpayer was liable for excess contributions tax for superannuation contributions made exceeding the non-concessional contributions cap. The taxpayer made non-concessional contributions totalling $159,016 to 2 super funds for the year ended 30 June 2008. For the relevant year, the taxpayer was over the age of 65. The Commissioner issued…
The following Bill received Royal Assent on 29 March 2012 as follows: Superannuation Guarantee (Administration) Amendment Bill 2011 – Assent as Superannuation Guarantee (Administration) Amendment Act 2012, Act No 22 of 2012. [LTN 62, 30/3]
The Government has released exposure draft legislation proposing to require superannuation trustees to consolidate multiple inactive accounts (less than $1,000) within their fund on an annual basis. The proposed amendments to the SIS Act will require trustees to establish and publish rules setting out a procedure for consolidating a member’s inactive accounts. An “inactive superannuation…
The due date for reporting on the Superannuation Legislation Amendment (Trustee Obligations and Prudential Standards) Bill 2012 by the Parliamentary Joint Committee on Corporations and Financial Services has been extended to 19 March 2012. The Bill contains the 2nd tranche of legislation for the Government’s Stronger Super (MySuper and governance) reforms. [LTN 50, 14/3]
The ATO on Wed 28.3.2012, issued Practice Statement Law Administration PS LA 2012/1 (GA) concerning the calculation of input tax credits and bad debt adjustments when a dividend is paid to creditors. It applies to representatives of an incapacitated entity who pays a dividend of less than 100 cents in the dollar to creditors towards…
The ATO on Wed 28.3.2012, issued an Addendum to GST Ruling GSTR 2006/5 (Meaning of “Commonwealth, a State or a Territory”) to amend the Ruling to broadly explain that a local government may be a State or Territory. [LTN 60, 28/3]
The ATO Thur 15.3.2011, issued for comment Draft Law Administration Practice Statement PS LA 3541 (GST classification of food and beverage items). The Draft applies to manufacturers and other suppliers that rely on GS1net and the GS1 Australia database to determine the GST classification of food and beverage items supplied. The Draft outlines the procedures…