The ATO on Fri 23.11.2012, issued Decision Impact Statement on the following:
- FCT v Kassem and Secatore & Anor [2012] FCAFC 124 – In that case, the Full Federal Court dismissed the Commissioner’s appeal and upheld an earlier decision that the Liquidators of a company were able to recover as an “unfair preference” 2 payments totalling $70,000 made to the Commissioner to reduce the company’s indebtedness. In the Decision Impact Statement, the ATO broadly said the Full Federal Court distinguished personal preference matters, and for the purposes of unfair preference provisions, found that the relevant transactions were payments made to the taxpayer’s running balance account. Further, ATO said the decision does not affect the Commissioner’s powers to allocate payments received by taxpayers in accordance with the 2 methods set out in Div 3 of Pt IIB of the TAA.
[LTN 228, 23/11]