Category: Uncategorized
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We have tax legislation…
It has been a while but the Government is back with some new law. Yes I know we had the changes to the personal tax rates, but that was boring (changes to rates and thresholds). Now we have some real meaty changes to digest! The beautiful named “Treasury Laws Amendment (2019 Tax Integrity and Other…
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Contradiction – A combination of statements, ideas, or features which are opposed to one another
The Commissioner has shown us his ability to bend and twist in relation to the FBT exemption that applies to taxi travel by an employee beginning or ending at the employee’s place of work. He states that the exemption is limited to travel in a vehicle licensed by the relevant state or territory to operate…
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When does a company carry on a business?
This is an important question, primarily for the small business entity concessions which require the entity to be carrying on a business. It is also important for applying the lower company tax rate before 1 July 2017, when a company had to be carrying on a business to get the lower rate as the rate…
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New powers for the Commissioner if he is concerned you won’t pay your tax
In a new Bill before Parliament (Treasury Laws Amendment (Combating Illegal Phoenixing) Bill 2019) the Commissioner gets some new powers. First, this Bill will allow the Commissioner to retain tax refunds where a taxpayer has failed to lodge a return or provide other information that may affect the amount the Commissioner refunds. The Commissioner may retain…
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Buying listed shares in a company?
I know, I know… This is a stupid idea as you lose the CGT discount… But remember that the discount could be 25%, not 50%, if there is a change in Government in May. And the highest marginal tax rate goes to 49% if there is a change in Government. And some companies will have…
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If I don’t exist you can’t tax me…
In country Victoria, when they get caught for not lodging tax returns, they try (and fail) to avoid having to do so by arguing they do not exist. Has he ever heard of “Cogito, ergo sum” (I think therefore I am) from René Descartes. Maybe he should have said “Cogito ergo uectigalis” (I think therefore…
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Proving deductions for home office expenses, mobile phones and internet
Sometimes it is good to remember the basics, especially when the Commissioner is focusing on it. So lets go back to 2001 and have a look at one of my favourite Practice Statements – Practice Statement Law Administration PS LA 2001/6 Verification approaches for home office running expenses and and electronic device expenses. What I like the most…
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Avoiding tax can lead to a longer life?
Go to Wikipedia and look at the list of the verified oldest people and coming in first is Jeanne Calment, who it is claimed was born on 21 February 1875 and passed away on 4 August 1997 at the ripe old age of 122 years, 164 days. What was the secret of her long life?…
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A new way to get people to pay their tax and lodge their returns – don’t let them vote
I was reading the 24th Amendment of the United States Constitution on a Saturday night (doesn’t everyone read comparative international tax for a big night out on Saturdays?) and found that Congress and the states cannot stop people voting in elections if they have not paid “a poll tax or other types of tax”. Southern…
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An amnesty that is too late…
On 24 May 2018, the Government introduced the Treasury Laws Amendment (2018 Superannuation Measures No. 1) Bill 2018, proposing a Superannuation Guarantee Amnesty, so that if you let the Commissioner know of any unpaid super all the way back to 1992, and make the payment by 23 May 2019, the payment will be deductible and the…
