Categories
FBT Planning Stuff Tax Policy

The end of salary packaging???

The Government has just released draft legislation in relation to the capping rules for exempt fringe benefits that can be provided by public hospitals, ambulance services, registered public benevolent institutions and registered health promotion charities. I should quickly say it is exactly as was announced on Budget night – from 1 April 2016 the total amount of […]

Categories
Income Tax Planning Idea Tax Policy

The negative gearing myth exposed

If we stopped negative gearing on 1 July 2015 it would reduce the budget deficits across the next four years by $2.94 billion. Sounds amazing… The budget deficits over the next four years are well over $80 billion combined! Can we please accept that proposed changes to super by the Opposition ($1.2 billion a year […]

Categories
Income Tax Tax Policy

A fundamental change to Division 7A (stuck in a review for another year!?!?)

You can’t just say this and do nothing… The Government has FINALLY released the very long awaited post implementation review into Division 7A . This review started in 2012 and was to be the place where the Government, through the Board of Taxation, consider making Division 7A less painful. Specifically, in 2013 the Board were told […]

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Income Tax Tax Policy

Div 7A and UPEs – The Assistant Treasurer Chickens out

I will write more about the Board of Tax report on Division 7A tonight, but I just sent this to the Assistant Treasurer… I refer to your press release of today. We have been waiting for you to release the Board of Tax report on Division 7A since 2012 as we knew it would recommend […]

Categories
Budget Tax Policy

What is coming in the budget? Budget lotto 2015

After failing so badly guessing what was in the budget last year it is time to have another go. So what is coming in next Tuesdays budget: 1. No changes to super at all. To differentiate them from the opposition. 2. A 2% reduction in the company tax rate for small business (>$5 million taxable […]

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Income Tax Part IVA Tax Policy

Unfortunate facts for those who want more tax from multinationals

I once worked for one of these multinationals. It was a US Company with a direct investment in Australia. The US company charged the Australian subsidiary management fees for head office costs, legal, finance… We were subject to a transfer pricing review by the ATO and at the same time the IRS in the US subjected […]

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Income Tax Tax Policy

How would I change negative gearing?

Simply I wouldn’t.  But having worked in an office at Parliament House and in the Federal Treasury, sometimes you have to do things you don’t agree with. And it looks like someone is going to be told yo do this  First, can we be clear there is no such part of the tax law that […]

Categories
Super Tax Policy

Tax announcement everywhere…

I hope Chris Bowen is Prime Minister one day. Yes big call but he is measured and thoughtful and never ever in a rush. And he has now released a super tax policy. It is a good start… For those who will scream “wont we have thousands of more people on the pension if we […]

Categories
Tax Policy

The Greens have a tax policy!!!

In the history of the Greens has there ever been a day they have made two tax announcements? Mark down 21 April. First, they have plans for small business tax. They are proposing: A 2% tax cut for small businesses Restoring and increasing the instant asset write-off threshold to $10,000 Restoring the loss carry-back provisions […]

Categories
Income Tax Tax Policy

What is happening at the Australia Institute?

This morning the head of the Australia Institute, Richard Dennis, tells us there is no other imputation systems in the world and we can save biiillliiioonnss by removing it. Wrong and wrong… But exactly what Fairfax journalist would love to print so he is a very good lobbyist. First, I assume he has never heard […]