Category Archives: Tax Month – November 2019

Treasury Laws Amendment (Your Superannuation, Your Choice) Bill 2019 – superannuation ‘choice’ extended to employees under post 30 June 2020 ‘enterprise agreements’ and ‘workplace determinations’

On 27 November 2019, the Government introduced the Treasury Laws Amendment (Your Superannuation, Your Choice) Bill 2019 – to extend the ‘choice’ of superannuation fund rights, to employees covered by an enterprise agreement or workplace determination, from 1 July 2020. See below for further details and links to the Bill and EM. [Tax Month – November 2019]

CGT ‘main residence’ exemption to exclude ‘non-residents’ – Scrutiny of Bills Committee concerns with the ‘retrospective’ effect of this measure (but not in the sense that really matters)

On 13 Nov 2019 the Senate Standing Committee for the Scrutiny of Bills issued ‘Scrutiny Digest 8 of 2019’ covering the Treasury Laws Amendment (Reducing Pressure on Housing Affordability Measures) Bill 2019 – Schedule 1 of which would cut ‘non-residents’ loose when disposing of their ‘main residence’. The Committee was critical of its retrospectivity, but unfortunately,…

AFR article about the Bill which would deny any ‘main residence’ CGT exemption, to a vendor who was non-resident at the time of sale (rather than limiting the exemption to the residency period)

On 28 Nov 2019, the Australian Financial Review published an article by its Political Reporter: Tom McIlroy, titled: Tax slug looms for expat property owners. This is about the clumsy and blunt measure the Government is still pushing through Parliament, that would deny non-residents any ‘main residence’ CGT exemption, if they are non-residents when they sell…

The ‘Combatting Illegal Phoenixing’ and ‘Housing Affordability’ Bills (both ‘Treasury Laws’ and ‘Foreign Takeovers’ Bills) – pass our Lower House without amendment – including controversial non-resident ‘main residence’ measure

On Wed 27.11.19, the Lower House of the Australian Parliament passed three Bills, relating to: Illegal Phoenixing, removing the ‘main residence’ CGT exemption from ‘non-residents’ and ‘near new dwelling exemption certificates’ for developers on sales to foreign persons. Depriving non-residents, of the the whole of their ‘main residence’ CGT exemption, is very controversial because of…

ASIC v Dover Financial Advisers Pty Ltd – Financial services company and director breached the Corps Act and ASIC act because its ‘Client Protection Policy’ did not give them ‘maximum protection possible’ but in fact purported to strip them of rights

On 22 November 2019, the Federal Court has held that a financial services advice business, contravened the law, by stating in its “Client Protection Policy” that clients received the maximum protection possible under the law – when it in fact stripped them of rights and was false, misleading or deceptive. See below for a summary…

Glencore Investment ‘transfer pricing’ appeal – Commissioner late to file his appeal (by 5 mins) but granted leave to appeal late

The Commissioner was granted leave to file his appeal late, in the Glencore Investments ‘transfer pricing’ case. See related Tax Technical article. I understand the Commissioner was 5 minutes late in filing. See below for further details. [Tax Month – November 2019]  

ASIC bans Melbourne adviser – advising to establish an SMSF, roll out super and invest into related party property developments or developers

On Friday 22 November 2019, ASIC issued a media release saying that it had banned financial adviser Jihad Soleiman, of Wollert, Victoria from providing financial services for six years, for advice to establish SMSF’s and invest in property. See below for the Media Release. [Tax Month – November 2019]    

‘Retirement income review’ consultation paper – building on the Productivity Commission’s superannuation report & investigating the “three pillars” of the retirement income system

Treasury has released a consultation paper as part of the Government’s Retirement Income Review which is seeking to establish a fact base on the operation of the current retirement income system. The review is being conducted by an independent panel chaired by Mr Michael Callaghan. See below for a summary of the Review and extracts…

Toowong Pastures Pty Ltd as Trustee for the DB Family Trust trading as KBE Contracting Australia [Pty Ltd – sic] v CofT – Super Guarantee payable for building site worker who was held NOT to be an independent contractor

The AAT has confirmed the ATO’s decision that a person who provided services as part of an asbestos removal/building renovations business was an employee and not an independent contractor. Accordingly, the employer was liable to superannuation guarantee charges amounting to some $15,000. See below for a summary of the case. [Tax Month – November 2019]

Bosanac v CofT – High Court refuses taxpayer’s Ceriorari application to quash lower court decisions in ATO’s favour – saying that Part IVC appeals can apply to post objection decision further amended assessments

A single judge of the High Court has refused to make an order quashing a Full Federal Court judgment upholding amended assessments for the 2006 to 2013 income years. The Taxpayer had commenced an action for Certiorari’ (in combination with a more conventional action, under Part IVC of the Federal Taxation Administration Act 1953 (TAA53)).…