Legislative amendments to restore the tax treatment of rights issues - 3 October 2008
An Act to restore the original income tax treatment of rights issued by issuing entities to existing shareholders or unitholders to acquire relevant interests in those entities received Royal Assent on 20 September 2008.
Taxation of Financial Arrangements: new exposure draft legislation released - 1 October 2008
On 1 October 2008, the Assistant Treasurer, Chris Bowen MP, released revised exposure draft legislation in the form of the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2008 and related explanatory material in relation to TOFA Stages 3 and 4 (TOFA). The proposed new TOFA provisions contain a comprehensive set of principles and rules for the tax-timing and character treatment of gains and losses from financial arrangements.
Changes to GST Margin Scheme Rules - 26 September 2008
A Bill setting out a range of proposed margin scheme amendments was yesterday introduced into Parliament. The amendments had previously been announced in May as part of the Federal Budget.
Superannuation for temporary residents - Bills introduced - 26 September 2008
Following an extensive consultation period which commenced with the release of a discussion paper on 5 May 2008, the Government yesterday introduced legislation into the House of Representatives which addresses the number of lost accounts and unclaimed money in the superannuation system which is referable to temporary residents who have departed Australia.
Managed Funds - changes to the eligible investment rules (Division 6C) - 26 September 2008
The Government has introduced into Parliament changes to the rules which govern the types of eligible investment business (eg. investing in land and securities) with which certain ‘public unit trusts’ need to comply in order to maintain their “flow through” character and prevent being taxed as companies (i.e. as public trading trusts - Division 6C).
Australia’s National Innovation Report- Key Points for Corporate Counsel - 11 September 2008
On 9 September 2008, the Federal Government released a major report on Australia’s National Innovation System. The Report was prepared by a panel chaired by Dr Terry Cutler, which included respected economists and research industry experts. This Alert identifies the specific key recommendations and issues raised by the Report which would have a legal impact on major corporations.
ATO changes view on GST and residential development costs - 21 August 2008
The ATO has recently published a new interpretative decision, ATO ID 2008/114, which sets outs its revised view on the entitlement of a developer of "new residential premises", to input tax credits (GST credits) where the developer temporarily leases the premises.
Australian tax system review - Treasury Discussion Paper issued - 6 August 2008
The Federal Government has released the Treasury Discussion Paper on the proposed reform of Australia’s tax system prepared by a team led by Treasury Secretary, Dr Ken Henry. The paper boosts the prospect of a future cut in Australia’s corporate tax rate by emphasising that the Australian rate is now above the OECD average.
Changes to Division 6C - Trading Trusts - 29 July 2008
The release of draft legislation on proposed changes to the operation of the rules for Public Trading Trusts, is likely to cause a widespread review of the investment profile of funds.
New Tax Rules - Distributions of managed investment trust income to foreign investors - 27 June 2008
A new final withholding tax regime has been enacted (Tax Laws Amendment (Election Commitments No.1) Act 2008) which applies to distributions of Australian source net income from Australian managed investment trusts to foreign investors.
Tax highlights - NSW Budget - 3 June 2008
The Treasurer, the Hon Michael Costa, today handed down the NSW Budget. The budget result for 2008-9 is expected to be a surplus of $268 million.
High Court decision overturns GST treatment of forfeited deposits - 22 May 2008
In a unanimous decision, the High Court has held that GST does apply to a forfeited deposit. This overturns the earlier decision of the Full Federal Court, which specified that GST does not apply to a forfeited deposit.
Offshore funds - release of CFC/FIF issues papers - 21 May 2008
The Board of Taxation this week released issues papers on possible reforms to Australia’s foreign source income anti-tax-deferral regimes. The closing date for submissions in relation to the issues papers, and the earlier position paper released on 12 March 2008, is 20 June 2008.
2008-09 Budget changes affecting employee share and option schemes - 15 May 2008
Proposed changes in the 2008-09 Budget may affect both participants and administrators of employee share and option schemes. Participants may be affected by the proposed changes to the election requirements, particularly if they are seeking to obtain the benefit of the 50% capital gains tax (CGT) concession. Administrators of employee option warehouse trusts will welcome the proposed CGT relief to prevent double taxation.
2008 Budget overview - tax highlights at a glance - 13 May 2008
The 2008 - 2009 Budget by the new Labor Government was released this evening Tuesday 13 May 2008. As expected there were a number of major revenue and expenditure measures which will have a significant impact on business.
The Producer Offset: the financier’s perspective - May 2008
The new tax relief system brought in by the Australian Screen Production Incentive introduced a new range of tax measures for the motion picture industry in Australia, consisting of various refundable tax offsets.
Commissioner may not be able to restrict GST refunds - 4 March 2008
The Federal Court decision in KAP Motors Pty Ltd v Commissioner of Taxation [2008] FCA 159 concerns the ability of a taxpayer to recover GST that has mistakenly been paid to the Tax Office in circumstances where the taxpayer has not made a "supply".
Amendments to Taxation treatment of Asset financing: Division 250 Introduced - 17 August 2007
Division 250 contains the long awaited amendments to the taxation treatment of asset financing arrangements between taxpayers and tax preferred end users.
Waiver of Legal Professional Privilege - 7 June 2007
Following on from our recent presentation at the Mallesons Corporate Counsel CPD Program on Legal Professional Privilege and Tax Audits, we wish to advise of a significant case handed down on 29 May 2007 which considered the concept of the waiver of legal professional privilege.
Latest proposed changes to the section 128F interest withholding tax exemption - 16 May 2007
On 10 May 2007, Tax Laws Amendment (2007 Measures No. 3) Bill 2007 (Bill) was introduced to Parliament. The Bill includes proposed amendments which narrow the scope of the interest withholding tax (IWT) exemption in section 128F of the Income Tax Assessment Act 1936 (section 128F exemption) in relation to “debt interests” which are not in the form of debentures.
New changes to Capital Gains Tax for foreign residents - 8 December 2006
On 7 December 2006, the Australian Parliament passed the Tax Laws Amendment (2006 Measures No. 4) Bill 2006. The Act amends the capital gains tax (CGT) provisions of the Income Tax Assessment Act 1997 (Cth) as they relate to foreign residents. The changes take effect from the date of Royal Assent of the Act, which is expected to be on about 15 December 2006.
New South Wales Duties (Abolition of State Taxes) Bill - 19 June 2006
On 6 June 2006, the State Taxes Bill was introduced into the New South Wales Parliament as part of the State Budget. It significantly amends the mortgage duty provisions. These will apply from 1 July 2006 until the abolition of mortgage duty on 1 January 2011. The proposed amendments may impact on deals you are currently doing where securities are to be executed or funding is to be provided on or after 1 July 2006.
Congestion Levy Bill - 10 October 2005
The Congestion Levy Bill 2005 was introduced into the Victorian Parliament on Wednesday 5 October 2005. The levy comes into effect on 1 January 2006 and will affect the owners and operators of car parks in the central Melbourne area.
Banking and finance alert - 22 July 2005
The Treasury introduced the Corporations Amendment Bill (No. 1) 2005 following submissions from industry bodies and Mallesons. The Bill seeks to clarify the liability of directors of corporate trustees when there are insufficient trust assets to discharge the trust's debt, following the controversial decision in Hanel v O'Neill. This alert highlights issues for trustee corporations and directors to consider in light of these proposed amendments.
Commercial property alert - June 2005
The State Revenue Legislation Amendment Bill 2005 was introduced into the New South Wales Parliament last Friday. The Bill is currently being considered by the Lower House of Parliament.
Taxation alert - 24 March 2005
On 17 March 2005, the Federal Government introduced into Parliament the Tax Laws Amendment (2005 Measures No.2) Bill 2005 (Cth) to counter certain residential property planning arrangements. These arrangements use the going concern, farm land, GST grouping, joint venture or associates rules to reduce or eliminate the GST liabilities on the supplies of real property. This Alert outlines these amendments and what developers should be doing now.
Taxation alert - 8 March 2005
GST transitional relief for supplies made under long term non-reviewable contracts will come to an end on 30 June 2005. All such supplies made from 1 July 2005 will be subject to GST. This alert provides an update on our December 2004 publication about the end of GST transitional relief for supplies made under long-term non-reviewable contracts.
Read our archived publications…