The Commissioner issued a ruling [on 25.3.15] that explains his view on the meaning of the terms “passed on” and “reimburse” for the purposes of Div 142 of the GST Act. Generally, Div 142 operates so that a supplier is not entitled to a refund of an amount of excess GST where the supplier has…
The AAT has held that a taxpayer was not entitled to “revise” earlier business activity statements (BAS) to claim input tax credits for acquisitions made more than six years previously. Facts – The taxpayer was registered for GST and lodged its BAS for the tax periods ended 31 March 2005, 30 June 2005 and 30…
In Anderson and Commissioner of Taxation [2015] AATA 167 the Tribunal found that the trustee of a family trust, was liable for GST in respect of the sale of property by the trust where the trust was in financial trouble and the proceeds of the sale were paid directly to the mortgagee. The contract of sale was entered…
The ATO says it continues to focus on “higher risk cash economy industries”. The ATO intends to visit or phone around 400 restaurants, cafes, takeaways and mobile food vendors in the Adelaide CBD. The visits will cover registration, record-keeping, super obligations and lodgment history. The ATO also plans to run 2 information sessions for business…
Treasury [on Mon 16.3.2015] issued a proposal paper seeking comments on possible options identified in the Multiple Entry Consolidated (MEC) group tripartite review. Following the recommendations of the review, in the 2014-15 Budget, the Government asked Treasury to consult on a possible amendment to improve the integrity of the tax system by extending a modified…
The ATO has released a consultation paper for comment on proposed administrative arrangements for reporting entity information as required by the tax secrecy and transparency measures in the Taxation Administration Act 1953. The law was amended in 2013 via the Tax Laws Amendment (2013 Measures No 2) Act 2013 to require the Commissioner to publish…
The ATO has advised that Shane Reardon, Deputy Commissioner – Public Groups recently announced his retirement from the ATO after a career which spanned 38 years. The Commissioner has temporarily appointed current Chief Tax Counsel, Jeremy Hirschhorn to the role. Mr Hirschhorn has over 20 years of experience in taxation. He joined the ATO in August 2014 as…
The ATO has reminded tax practitioners that the net medical expenses tax offset (NMETO) is being phased out. To be eligible for the NMETO for 2014-15, individual taxpayers must have received an amount of the tax offset in both of their 2012-13 and 2013-14 income tax assessments. The ATO says that if the taxpayer’s 2012-13…
The ATO has announced it is leading 2 taskforces to combat expanding threats from phoenix businesses and the misuse of trust structures. Speaking about the newly prescribed Phoenix and Trust Taskforces, Acting Deputy Commissioner Will Day said that agencies now have extended information-sharing powers. He said recent figures show that phoenix activity costs the Australian…
The ATO is seeking comments on a draft list of effective lives for assets used in the survey and mapping services industry. It proposes to add the list of effective lives to the Commissioner’s schedule that will apply to new assets purchased and first used, or installed ready to use, on or after 1 July…