The ATO on Wed 5.12.2012 issued the following Class Rulings:
- CR 2012/110: R&D concession: membership funding for the ACA Low Emissions Technologies Program. It applies from 1 July 2007 to 30 June 2011. Among other things, the Ruling states that to the extent contributions made in an income year are $1,000 or more and are incurred directly in respect of R&D activities as defined in s 73B(1), contributors can claim a deduction under s 73B(14).
- CR 2012/111: Bank of Queensland – issue of convertible preference shares. It applies from 1 July 2012 to 30 June 2021. The Ruling broadly states that dividends paid in respect of the convertible preference shares will be assessable income of the holders, and that the holders will be entitled to an offset equal to the franking credit received on the dividends.
- CR 2012/112: Issue of CPS2 by Suncorp Group Limited. It applies from 6 November 2012 to 30 June 2020. The Ruling, among other things, states that the holders of convertible preference shares must include all dividends received in their assessable income, and that they will generally be entitled to a tax offset equal to the franking credit received.
- CR 2012/113: Proposed return of capital: Chalice Gold Mines Limited. It applies from 1 July 2012 to 30 June 2013. The Ruling broadly states that the proposed return of capital is not a dividend as defined under s 6(1) of the ITAA 1936.
- CR 2012/114: Return of capital: Energy Technologies Ltd. It applies from 1 July 2012 to 30 June 2013. Among other things, the Ruling states that the return of capital will not be a dividend for the purposes of s 6(1) of the ITAA 1936.
[LTN 236, 5/12]