21-30 of 136 results
Treasury proposes new anti-avoidance measure for intragroup payments connected with intangibles in low-tax jurisdictions
The Federal Government is proposing to deny the ability of significant global entities to deduct payments relating to intangible assets connected with low corporate tax jurisdictions. ...
A significant revamp of our thin capitalisation rules is on the horizon
On 16 March 2023, Treasury released an Exposure Draft of the legislation to amend Australia's interest limitation rules—the thin capitalisation rules—contained in Division 820 of the Income Tax Assessment Act 1997 (Cth) (the 1997 Act). ...
EVs and excise: constitutional challenge to Victoria's electric vehicle road user charge
A constitutional challenge to the Victorian electric vehicle road user charge has brought into sharp focus the balance of taxing rights as between the states and the Federal Government. The case may have broad-ranging implications for federal and state tax bases. ...
Tax Summit 2022: Capital Management and M&A
At the annual Tax Institute Tax Summit, Partner Joseph Power and Managing Associate Jay Prasad delivered a paper on 'Capital Management and M&A'. It examines the new proposed tax integrity rule for franked distributions funded by capital raisings, the decision in Aurizon and capital contributions, how the ATO's views on demergers have (re)shaped the demerger landscape and some tips and traps when paying a special dividend in connection with a scheme of arrangement. ...
Is a change (to a stapled structure) as good as a (tax) holiday?
In the second case to consider the general anti-avoidance rule contained in Part IVA since it was amended in 2013, a single judge of the Federal Court has held that the overall restructuring of a loan securitisation business from a corporate group to a corporate group and a separate trust group, which ultimately became a stapled structure, was legitimate and not rendered ineffective for income tax purposes. ...
Shell Energy Holdings v Commissioner of Taxation: the end of the 'exploration' journey
On Friday 9 September 2022, the High Court rejected the Commissioner's application for special leave to appeal against the decision of the Full Federal Court in FCT v Shell. So ends the long journey that was the Commissioner's attempt to confine the meaning of 'exploration' to the mere discovery of a resource. ...
2022-2023 Budget update – concessional tax rates expanded to agricultural sector and low emissions technology innovations
In its 2022–23 Budget, the Federal Government announced an expansion of its proposed concessional tax rates to agricultural and low emissions technology innovations. These concessional tax rates for profits derived from eligible intellectual property are known as a 'patent box'. ...
Beware the stamp duty pitfalls of nominee clauses and resulting trust exemptions – discussion of the Victorian case of Hartman
The recent Victorian case of Hartman1 demonstrates the potential stamp duty dangers of relying on nominee clauses in transactions involving land (or other dutiable property). The VCAT decision highlights the importance of settling, if possible, on the identity of the ultimate transferee prior to execution of a contract and, above all, the need for developers and other purchasers of land to seek advice before relying on a nominee clause or otherwise seeking to transfer title to a third party. ...
High Court ruling that 'backpacker tax' is discriminatory invites consideration of other potentially disapplied discriminatory tax provisions
In the recent decision of Addy v Commissioner of Taxation, the High Court ruled that the so-called 'backpacker tax' contravened the non-discrimination article contained in the double tax agreement between Australia and the United Kingdom (UK). ...
Commissioner victorious in taxing cross-border trust distributions of capital gains
The Full Federal Court has confirmed a controversial view held by the Commissioner of Taxation (the Commissioner) on the taxation of capital gains from non-taxable Australian property made by Australian resident discretionary trusts that are distributed to foreign resident beneficiaries. ...