Tax changes still outstanding… Not much left

According to my count there are only 23 changes to the tax and super system left for the government to do to have completed all of the outstanding announcements.

And most of these 23 are BORING…

Number one is to get the mining tax, and the associated tax concessions, through at attempt two.

There are four things in the budget (repealing the Seafarers Offset???, Reducing the R&D Tax Incentive by 1.5%, locking in the private health insurance thresholds and allowing people to be refunded excess non-concessional contributions).

And then there is the promised reduction in the company tax rate to 28.5% from 1 July 2015.

The remaining 17 are previous government announcements.

My favourite is fixing earn-out arrangements and the Small Business Concessions – The Treasury has be “working” on this since 2007… and we are still waiting…

The next interesting thing is to replace the GST-free going concern with a reverse charge arrangement.

And after this, if you don’t care about Managed Investment Trusts, International Tax, Taxation of Financial Arrangements, loss recoupment rule, functional currency, the debt equity rules or Offshore Banking Unit rules (that make up 8 technical changes) there are only 7 changes.

These are automatic information from businesses to the ATO, Super fund mergers, four minor changes to CGT, and a change to GST and connected with Australia rules.

With a tax white paper coming up it is unlikely there will be many more tax changes announced in the next couple of years. lets see if the Treasury can clear all these issues soon (come on CGT gurus, you are making up more than 20% of the outstanding issues and one of these in seven years old…).

Outstanding tax changes

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About Ken Mansell

As a stay at home Dad most of the week this is my way of pretending I am still the tax counsel of ASX and SEC listed companies, working at big 4 firms, working at the Federal Treasury, on the Henry Review and at Parliament House for the previous government.
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