The ATO has also released their Practical Compliance Guideline 2023/2 which sets out the approach of the Commissioner to businesses that classify their workers as either employees or independent contractors. As such, the guidelines sets out how the Commissioner allocates audit compliance resources based on the risk structure as seen [...]
Late last year, the ATO released their new Taxation Ruling 2023/4 which sets out the ATO’s view on whether a worker is an independent contractor or employee. The purpose of this ruling is to assist businesses – who employ independent contractors and employees – in determining whether they have to [...]
Taxpayers should be reminded of keeping up to date and accurate records of their assets, especially when those assets are disposed of. Not only is it an offence to fail to keep accurate records, but keeping these records will assist in calculating your income tax for the financial year as [...]
The landmark Victorian Supreme Court appeal case of Owies v JJE Nominees Pty Ltd (2022) VSCA 142 (Owies) has highlighted issues relating to the exercise of the power of trustees in discretionary trusts to allocate trust income with absolute discretion and the duty of the trustee to consider beneficiaries. In [...]
In the context of small businesses, a restructure can afford significant advantages ranging from decreased operational costs, increased efficiency and communication as well as simplifying management. Often these restructures involve the disposal of major assets which may incur CGT consequences for the business resulting in an inefficient restructure. In this [...]
Medical practice owners should be aware that agreements entered into with medical practitioners for the use of shared administrative and medical support services as well as the use of rooms may attract payroll tax liability. On 14 March 2023, the NSW Supreme Court of Appeal dismissed an appeal by the [...]
Our Taxation team at Pointon Partners are often asked to advise on whether employers are obliged to pay superannuation for the services of a contractor for the purposes of the Superannuation Guarantee Act when a dispute has arisen. This has been highlighted by recent ATO activity where disgruntled contractors have [...]
On Tuesday 23 May 2023 the Victorian Treasurer, Tim Pallas, delivered the 2023-24 State Budget announcing a landmark reform to abolish stamp duty for commercial and industrial properties and introduce a new annual property tax. These changes are expected to take effect from 1 July 2024. Stamp duty to be [...]
The High Court case of Commissioner of Taxation v Carter [2022] HCA 10 confirmed that the right to trust income is decided by the Trustee on or before 30 June of any year and any retrospective disclaiming is of no effect in respect of income taxation liability. It is noted that [...]
Other than complying legacy sub-trusts created prior to 1 July 2022, it is highly arguable that creating new sub-trusts between Trusts and companies is not sensible. If you wish to pay your income or capital to a corporate beneficiary of the Trust then you should preferably pay it out to [...]
