On Wed 10.2.2016, the ATO issued Class Ruling CR 2016/9 (Qantas Airways Limited – employee share schemes – return of capital). The Class Ruling applies to employees of Qantas Airways Limited and its subsidiaries who have participated in various Qantas employee shares schemes. It outlines the tax consequences to participants of Qantas’ $505m capital reduction and share consolidation announced in October 2015.

The Class Ruling generally applies to the 2015-16 income year only. However, it continues to apply after 30 June 2016 to participants who enter into the relevant scheme during the term of the Class Ruling.

[LTN 26, 10/2/16]