News

Illegal SMSF early access scheme leads to $6,000 fine

May 16th, 2017

ASIC reports that a man from South Melbourne has pleaded guilty in the Melbourne Magistrates Court and been fined $6,000 for operating a financial services business without an Australian financial services (AFS) licence. ASIC’s investigation arose from ATO intelligence that raised concerns about the promoter’s conduct. The offence related to a scheme the man promoted [...]

Super guarantee non-compliance: Senate Committee report

May 16th, 2017

On 2 May 2017, the Senate Economics References Committee released its report into Superannuation Guarantee (SG) non-payment, calling for the ATO to take a more proactive stance in identifying and addressing SG non-compliance. As part of its inquiry, the committee heard that employers failed to pay $5.6 billion in SG contributions in 2013–2014, affecting 2.76 [...]

Higher education HELP changes: faster repayments and threshold changes

May 16th, 2017

The Minister for Education and Training, Simon Birmingham, has announced a package of reforms to higher education – the Higher Education Reform Package – to take effect generally from 1 January 2018. The details announced will be confirmed in the 2017–2018 Federal Budget. They include: • an increased maximum student contribution from 1 January 2018; [...]

Senate Committee holds corporate tax avoidance hearing

May 16th, 2017

The Senate Economics References Committee is inquiring into tax avoidance and aggressive minimisation by corporations registered in Australia and multinational corporations operating in Australia, including looking at the adequacy of Australia’s current laws. The Committee held a public hearing in Perth on 28 April 2017, where it heard from representatives of Woodside Energy Limited, BHP [...]

Does your business import or export goods and services?

May 16th, 2017

The ATO reminds business owners that if your business imports or exports goods or services in Australia, it is important to be aware of your GST responsibilities so you can get the information on your business activity statement (BAS) right. Exports from Australia are generally GST-free, but special conditions apply in some situations. For example, [...]

ATO adds value to developing financial literacy

May 16th, 2017

The ATO is helping teachers add tax and super to their classes this year with dedicated educational resources. In partnership with the Australian Curriculum, Assessment and Reporting Authority (ACARA) and the Australian Securities and Investment Commission (ASIC), the ATO has developed resources that align to the Australian Curriculum for students in years seven to 10. [...]

Tax assistance for people affected by Cyclone Debbie

May 16th, 2017

The ATO has said it will fast-track refunds for people affected by extreme weather and flooding associated with Tropical Cyclone Debbie and ex-Cyclone Debbie in Queensland and New South Wales, and will allow extra time for those taxpayers and their agents to lodge income tax returns and activity statements. Tax Commissioner Chris Jordan said taxpayers [...]

Alternative assessments not tentative: Federal Court

March 21st, 2017

The Federal Court has found that a company’s tax assessments were not tentative or provisional, and therefore were valid. For the 2011 to 2014 income years, the Commissioner of Taxation had notified the taxpayer, which was the trustee of a discretionary trust, that it was liable to pay tax assessed in two different amounts calculated [...]

GST on low-value imported goods

March 21st, 2017

A Bill introduced into Parliament in February proposes to make Australian goods and services tax (GST) payable on supplies of items worth less than A$1,000 (known as “low value goods”) that consumers import into Australia with the assistance of the vendor who sells the items. For example, GST would apply when you buy items worth [...]

Overseas income not exempt from Australian income tax

March 21st, 2017

The Administrative Appeals Tribunal (AAT) has agreed with the ATO’s decision that income a taxpayer earned when working for the United States Army was not exempt from Australian income tax. The taxpayer, who was a mechanic and electrician, played a critical role in plant construction in Afghanistan. While the project the taxpayer worked on met [...]