Tax & Accounting Blog

NEWS, TRENDS AND RESOURCES FOR
TAX AND ACCOUNTING PROFESSIONALS

Bank levy solution to company tax cut deadlock?

The big bank levy could be the key to curing two of the Turnbull government's biggest headaches: its continuing failure to legislate for company tax cuts and the scandals now emerging from the banking royal commission. However, Any wins for the government around securing company tax cuts would be likely to come on top of personal tax cuts this budget.

Bank levy solution to company tax cut deadlock?

Bank levy solution to company tax cut deadlock?

The big bank levy could be the key to curing two of the Turnbull government's biggest headaches: its continuing failure to legislate for company tax cuts and the scandals now emerging from the banking royal commission. However, Any wins for the government around securing company tax cuts would be likely to come on top of personal tax cuts this budget. … Read More

Cuts to individual tax rates a likely Federal Budget centerpiece. But at what cost?

Cuts to individual tax rates a likely Federal Budget centerpiece. But at what cost?

Personal tax cuts are shaping up as a likely Federal Budget centrepiece, but the question of how exactly they'll be funded is still anyone's guess. Terry Hayes, Tax Consultant to Thomson Reuters, looks beyond the simple revenue loss equation to understand why they could be a 2018-19 budget certainty, despite the finance question. … Read More

International tax complexity for Australian investments: a real-world example

International tax complexity for Australian investments: a real-world example

With a quarter of all foreign investment in Australia coming from the United States, it is important to consider the potential impact of the US tax reforms on inbound Australian investments. A recent court case has provided a real-world example of how US private equity investors can structure certain Australian investments to deliver “look through” treatment for the purposes of US tax law. … Read More

100% Pure BEPs: NZ responds to the OECD’s BEPs Action Plan

100% Pure BEPs: NZ responds to the OECD’s BEPs Action Plan

With the introduction of a new tax bill in New Zealand to counter multinationals’ BEPs activities, it is a good time to revisit Australia’s own BEPs progress. … Read More

Did we learn anything from the Chevron transfer pricing case? Has arm’s length price passed its use-by date?

Did we learn anything from the Chevron transfer pricing case? Has arm’s length price passed its use-by date?

In August 2017, Chevron Australia announced that it would abandon its ongoing transfer pricing dispute with the ATO.  This announcement means that, for the next few years at least, the Full Federal Court’s judgment handed down in April 2017 (Chevron Australia Holdings Pty Ltd v FCT [2017] FCAFC 62, reported at 2017 WTB 16 [486]) represents the leading authority […] … Read More

Corporate beneficiaries and corporate tax rate: How might the new legislation be applied?

Corporate beneficiaries and corporate tax rate: How might the new legislation be applied?

On 18 October 2017, the Government introduced Treasury Laws Amendment (Enterprise Tax Plan Base Rate Entities) Bill 2017 into Parliament.  The Bill contains amendments to s 23AA of the Income Tax Rates Act 1986 to clarify which entities will be eligible for the reduced corporate tax rate for the 2017-18 income year and subsequent income […] … Read More