Superannuation Guarantee Amnesty – only runs for 6 months from 6 March 2020 – ‘real incentives’ to disclose and a ‘nasty sting in the tail’ for those who don’t

On 12 March 2020, accounting firm: Pitcher Partners put out a Critical Point Network Bulletin reminding readers that the Superannuation Guarantee ‘Amnesty’  started on 6 March 2020 and runs for only 6 months (6 Sept 2020) and covers a very long period – 1 July 1992 and 31 March 2018 (from the inception of the…

Government’s 1st Tranche Coronavirus $17b Stimulus Package – instant asset write-off widened; investment allowance; accelerated depreciation; cash based on PAYGw to employers; money to pensioners etc.

On 12 March 2020, our Prime Minister: Scott Morrison  announced the Government’s stimulus package, to support the economy, which is suffering the double blow of the bushfires and the ‘coronavirus’ (now known as CO-VID 19). It is a significant but is of little use to distressed businesses who don’t have the resources to invest extra…

SMSFs more than 2 weeks late in lodging an annual return will change change status on ‘Super Fund Lookup’ to ‘Regulation details removed’ precluding rollovers and SGC contributions

On Thursday 12 March 2020, the ATO posted an article advising SMSFs that being more than 2 weeks late in lodging any annual return, and it hasn’t requested a deferral, it will change the status of the SMSF, on Super Fund Lookup (SFLU) to ‘Regulation details removed’.

See below for details.

[Tax Month – March 2020]

Social security ‘deeming rates’ cut by 0.5% in response to 0.25% Reserve Bank cut in interest rates

On Thursday, 12 March 2020, the Ministers for the Department of Social Services (Ruston, Robert, Landry and Howarth) issued a Media Release announcing that the Social Security ‘deeming rates’ would be lowered by 0.5% (50 percentage points) – double the Reserve Bank’s 0.25% cut in interest rates on Tuesday 3 March 2020 (conceding there was…

ATO comments on the BHP Billiton case – High Court’s decision confirming that sister subsidiaries in a ‘dual listed’ group are ‘sufficiently influenced’ and therefore ‘associates’ for tax purposes

On 11 March 2020, the ATO posted an article noting that the High Court had upheld its position that BHP was taxable on all of it’s share of the income from its marketing hub and welcoming that decision – BHP Billiton Limited v Commissioner of Taxation [2020] HCA 5 (see related TT article, also). The ATO makes some…

BHP Billiton Limited (BHP Group Ltd) v CofT – High Court upholds Commissioner’s CFC attribution assessment of the whole of Australian Dual Listed’ entity’s share of its Marketing Hub’s income – the UK Dual Listed’s subsidiary suppliers were ‘associates’ because they were ‘sufficiently influenced’

On Wed 11 March 2020, the High Court dismissed an appeal from a decision of the Full Court of the Federal Court of Australia – upholding CFC ‘attribution’ assessments on with whole of the Australian ‘dual listed’ entity’s share of the Marketing Hub ultimately owned by the Australian and UK dual listed entities. The High…

Ex-NewSat CEO convicted for $357,500 in fake invoices and also his accountant – here the beneficiary of the fraud was not the taxpayer

Last month I reported that an accountant had admitted submitting false invoices, and awaited sentencing. On 5 March 2020, the wash up of this became known and was reported in the Australian Financial Review, by Lisa Main (one of their reporters) under the heading: Ex-NewSat CEO convicted for $357,500 in fake invoices. The gist of this…