Public hearing into Tax Bill (No 6) 2012 re: native title exemption; disallowing capital allowance deductions through limited recourse debt not paid; and abolishing FBT in-house concessions through salary sacrificing [4]

The House of Reps Standing Committee on Economics will hold a public hearing on Wed 30.1.2013, at Parliament House in Canberra, into various provisions in the Tax Laws Amendment (2012 Measures No 6) Bill 2012. The hearing will cover 3 schedules in the Bill.

• Schedule 1 – proposes that native title benefits will not be subject to income tax, including CGT.
• Schedule 6 – proposes to restore the original policy intent of the provisions relating to limited recourse debt, following the High Court case in 2011 between the Tax Office and BHP. The proposed amendments would reverse capital allowance deductions that, at the time the debt is terminated, are excessive having regard to the amount of the debt repaid.
• Schedule 7 – proposes to remove concessional FBT treatment for in-house fringe benefits accessed through salary sacrificing.

The proceedings will be broadcast. Further details on the inquiry are on the Committee’s website.

[LTN 18, 29/1/13]