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Income Tax Legislation Planning Idea Planning Stuff

Newish Tax Concession For Farmers

The Government has released draft legislation that makes certain tax concessions available to farmers even better than they currently are. In the draft legislation, the Government proposes to make the following changes to the Farm Managed Deposit scheme (and a reminder for those city slickers, the FMD scheme allows farmers to claim a tax deduction […]

Categories
Income Tax Rulings

How do I fix up a large UPE

I know they are not as common since December 2009, but now that we are generally paying interest on new UPEs to corporate beneficiaries (as required under TR 2010/3) these UPEs can be a real pain. Especially if the trust that retains the cash that created the UPE is not making a lot of money and […]

Categories
Income Tax Rulings

Common property in blocks of units

So who owns the common property in a block of units, the strata trust or the owners. Legally it depends on the state legislation. However, in Taxation Ruling TR 2015/3 the Commissioner simplifies this 40. Each strata title legislation is different in its description of how common property is held. Notwithstanding these differences, the Commissioner […]

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Tax Policy

Please Fairfax, think…

Once again Fairfax journalists are showing how little they know about tax. Recently, the master of the tax mistake, Michael West, wrote about some recent tax amendments that have been blocked in the Parliament… The second is an amendment to compel multinational companies to file, as do their Australian-listed peers, proper financial statements, and not […]

Categories
Income Tax

Tax Depreciation Myths

There is a field of study that shows that you cannot teach an adult anything that is contrary to their current opinion without first challenging or disproving their current opinion. I recently had an email war with a preparer of tax depreciation schedules about what you can claim Division 43 on… either the historic construction costs […]

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Article Super

FPA Congress Paper

I can’t be bothered carrying hundreds of copies of my paper for tomorrow’s presentation at the annual FPA Congress up to Brisbane… So attached is the paper for delegates (and anyone else with an internet connection) to download. Enjoy (But you have to be at the session to listen to my not very funny jokes…) […]

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Income Tax Planning Idea Planning Stuff Tax Policy

And so there is another scheme to avoid Division 7A

A few weeks after 4 December 1997 I was told about my first Division 7A avoidance idea. And by mid 2008 the first amendment to Division 7A came about to undo this idea (the old section 109UB to stop trusts loaning corporate UPEs to owners). Since then I have been asked lots of times to […]

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Budget Income Tax Planning Idea Planning Stuff Tax Policy

More Wow!

I was thinking about yesterday’s post and I have a strange thought. If I have a CGT asset owned by a company I am not going to get the CGT discount. But if I use the rollover from yesterday’s post to move the CGT asset to a trust and sell it the next day I […]

Categories
Budget Income Tax Legislation Planning Idea Planning Stuff

Wow! I mean wow!!! Like wow!!!

In the May budget the government promised a new rollover for small businesses that allowed them to change their structure without (federal) tax effects. The Treasury has released a draft of this rollover and it is amazing. Listen to this… You can roll small business assets into a new structure if ultimate economic ownership of the […]