ATO response to High Court decision in Bywater

In a previous article we discussed the High Court of Australia decision in Bywater & Ors v FC of T: see Subsequent to the High Court decision, the ATO withdrew its previous ruling TR 2004/15, and issued a new draft ruling TR 2018/D3, and an exposure draft Practical Compliance [...]

2018-08-31T16:15:50+00:00August 24th, 2018|Categories: Taxation|Tags: , |

Federal Court decision highlights the urgent need for change to income tax residency rules for individuals

In the recent decision of the Federal Court in Harding v Commissioner of Taxation [2018] FCA 837, it was found that Mr Harding, an Australian citizen who lived and worked abroad for various periods, but focusing on March 2009 to February 2015, was a resident of Australia under the expanded [...]

2018-09-27T16:28:58+00:00August 17th, 2018|Categories: Taxation|Tags: , , |

Transfers of land in a partnership in Victoria – Court confirms non dutiable – Refund possibilities if act promptly

The rights of a partner in a partnership have been highlighted  again by the Court of Appeal of Victoria in a judgement handed down in December 2017 (Commissioner of State Revenue v Danvest Pty Ltd BC 201711304). The case involved one of the partners buying out two other partners. The partnership [...]

2018-08-23T15:28:38+00:00May 29th, 2018|Categories: Taxation|Tags: |

Vacant Residential Land Tax – Do you need to notify the State Revenue Office?

The lack of housing supply in inner and middle Melbourne has become a major issue for residents and the State Government. In response, the Victorian State Government has sought to free up further housing by introducing a new Vacant Residential Land Tax on residential properties that remain vacant for more than [...]

2018-08-24T17:26:09+00:00October 25th, 2017|Categories: Taxation|Tags: , , |

Small business corporate tax rate: Exposure draft legislation released regarding passive income threshold

In our recent article entitled “Corporate Tax Cuts. What do they mean for you?”, we referred to the relevant minister (Kelly O’Dwyer) questioning the ATO provisional interpretation of when a company would be “carrying on business” for the purpose of the reduction in the small business corporate tax rate. The [...]

2018-08-28T15:29:02+00:00October 9th, 2017|Categories: Taxation|Tags: , |

Taxpayers and advisers take note: it will soon be time to pay-out UPEs or convert them to Division 7A complying loans to avoid paying deemed dividends

Background In Practice Statement 2010/4, the Commissioner set out three safe harbour investment options that taxpayers could avail themselves of to ensure an Unpaid Present Entitlement (UPE) of a company from a trust, did not attract the application of Division 7A. These options involved having the UPE funds invested under [...]

2018-08-28T15:44:48+00:00September 25th, 2017|Categories: Taxation|Tags: , , |

Proposed changes to CGT main residence exemption for foreign residents

The Treasurer has recently released exposure draft legislation (Treasury Laws Amendment (Housing Tax Integrity) Bill 2017) in relation to removal of the CGT main residence exemption for foreign residents. The changes are part of the Commonwealth Government’s ‘housing affordability’ reforms announced in the 2017-18 Budget. This will affect both Australian [...]

2018-08-28T16:27:28+00:00August 21st, 2017|Categories: Taxation|Tags: , |