The NSW Land and Environment Court has held that the land value at each base date for each of 2 properties in question was the value agreed between the valuers including GST. The taxpayer owned 2 commercial properties in Sydney and its objections to land valuations on each property were dismissed, so it appealed to…
The ATO has issued a Decision Impact Statement on the decision in AAT Case [2013] AATA 496, Re Rod Mathiesen Truck Hire Pty Ltd as trustee for the Mathiesen Family Trust. In that case, the AAT held that, for the purposes of the GST Act, all of the consideration in relation to the sale of…
The AAT has affirmed a decision of the Commissioner to refuse a taxpayer’s claim for input tax credits (ITCs) claimed for the relevant period, but reduced the penalty imposed on the shortfall amount. The taxpayer conducted a product development and commercialisation business. It contended that, pursuant to 2 agreements, it purchased intellectual property and debtors…
The ATO on Mon 23.9.2013, advised that a Queensland-based accountant has been sentenced to 6 years jail for promoting tax avoidance schemes to a number of clients which lead to nearly id=”mce_marker”.4m in tax being avoided. It said early this year, in connection with the case, 4 former clients of the accountant were convicted of…
Thomson Reuters has confirmed with Rio Tinto that the company has entered into a compliance arrangement with the ATO which covers its corporate income tax obligations. Rio Tinto said the agreement signed on Wed 18.9.2013, strengthens its commitment to strong governance standards in taxation and is consistent with its commitment to transparency. “Australia’s leading companies…
The ATO Wed 25.9.2013, issued the following Class Rulings: CR 2013/72: The ANU Voluntary Early Retirement Scheme (VERS) – Professional staff; and CR 2013/73: The ANU Voluntary Early Retirement Scheme (VERS) – Academic staff. Among other things, the Rulings state that the early retirement schemes to be implemented by the ANU are early retirement schemes…
The ATO on Wed 18.9.2013, released Product Ruling PR 2013/16 (Deductibility of interest in relation to investment in units in the Macquarie Flexi 100 Trust issued on or before 30 June 2016). It applies prospectively from Wed 18.9.2013. Among other things, the Ruling states that an amount equal to the interest charged on the investment loan, reduced…
The ATO on Wed 18.9.2013, released Class Ruling CR 2013/71 (University of Melbourne Dairy Resident Training Program scholarship). It applies from 1 January 2013. Broadly, the Ruling states that the stipend payments made by the University would be assessable income to the student under s 6-5 of the ITAA 1997, however, the payments are exempt from tax under…
The ATO on Wed 4.9.2013, released the following Class Rulings: CR 2013/68: Cancellation of shares in Tower Ltd. It applies from 1 July 2012 to 30 June 2013. Broadly, the Ruling states that the return of capital to Tower Ltd shareholders will not be a dividend under s 6(1) of the ITAA 1936. CR 2013/69: Return of capital: Wesfarmers Ltd.…
This TD, released on Wed 25.9.2013, specifies for the purposes of s 108-85 of the ITAA 1997, that the CGT improvement threshold for the 2013-14 income year is id=”mce_marker”36,884. [FJM Note: This is the threshold where improvements to pre-1985 land will form a separate asset (post-CGT) from the land.] [LTN 186, 25/9/13]