(@elinor.kasapidis.cpaaustralia)

What were they thinking

Redundancies after the age of 65 aren't 'genuine' – is it fair?

Subsection 83.175(2)(a) of the Income Tax Assessment Act 1997 requires that the employee is dismissed before the day he/she turns 65 to satisfy the genuine redundancy provisions. The provision was inserted in July 2007 as part of the Tax Laws Amendment (Simplified Superannuation) Bill 2007. No mention of this provision was included in the Explanatory Memorandum, nor in the second reading speeches. The earlier Treasury... more »

Voting

6 votes
6 up votes
0 down votes
(@moderatorboardoftaxationsecretariat)

Tell it to the Tax Office

ESS and Interests in Foreign Vehicles

Need further guidance from the ATO with respect to Employee Share Schemes (ESS) and whether interests in certain common kinds of foreign vehicles (such as a limited liability company) qualify as 'shares' or 'ordinary shares' under the ESS rules, in particular, subsections 83A-10(1) and 83A-45(2) of the ITAA 1997.

(@moderatorboardoftaxationsecretariat)

Too taxing: reducing red tape

Correcting GST Errors

The current time and value limits for correcting prior period GST debit errors range from 12 - 18 months and $10K to $450K depending on GST turnover. Where these limits are exceeded however, taxpayers are required to correct every impacted Business Activity Statement (BAS) lodged in the previous four years. This increases compliance costs for both taxpayers and the ATO. Propose therefore that both the time and value limits... more »

Voting

4 votes
4 up votes
0 down votes
(@robbie)

Too taxing: reducing red tape

Unnecessary tax return form item

Total salary and wages expenses is one of the financial information disclosures on income tax returns of entities carrying on business. This disclosure is unnecessary because the ATO already gets this info from PAYGW disclosures on the business's BAS. Having to work out the payment summary equivalent figures to disclose on a tax return of an entity with a substituted accounting period can be very time consuming. Most... more »

Voting

4 votes
4 up votes
0 down votes
(@moderatorboardoftaxationsecretariat)

Too taxing: reducing red tape

Ability to appoint multiple public officers

Companies carrying on a business or deriving property income in Australia are required to have and must appoint a public officer for the company. Amongst other things, the appointed public officer is the only person who is entitled to sign the company tax returns. The legislation does not allow for the appointment of multiple public officers for a particular company. There should be opportunity to appoint more than one... more »

(@anna2016)

Too taxing: reducing red tape

Payment Summaries

Would it be possible to enter Payment Summary information through the ATO Business Portal/Tax Agent Portal and then being able to print payment summaries as pdf files (ideally with immediate email to employee functionality). Currently micro businesses are completing paper copies. These forms are getting more elusive to access. Most micro businesses do not have payroll functions included in their accounting software. Where... more »

Voting

4 votes
4 up votes
0 down votes
(@robbie)

Too taxing: reducing red tape

Super contribution info availability for tax agents

Currently there seems to be no way for tax agents to access taxpayer superannuation contribution details that the ATO holds. The ATO applies this info in assessing Div293 tax but the tax agent cannot accurately estimate for a client what the Div293 liability will be because tax agents cannot access the info that the ATO holds about contributions made on behalf of a taxpayer for a financial year. The tax agent can guess... more »

Voting

4 votes
4 up votes
0 down votes
(@dsmerchanskyi)

Sweating the small stuff

SAPTO transfer to spouse: formula update

A formula in regulation 12(3)(b)(ii) in INCOME TAX ASSESSMENT (1936 ACT) REGULATION 2015 still contains figures $6,000 and 15% which appear to be references to old income tax rates and tax-free threshold. Subregulation 12(4)(a) contains a reference to $6,000. Based on this regulation, presently taxpayers with taxable incomes falling within the $18,200 tax-free threshold may not be able to transfer unused SAPTO to their... more »

Voting

4 votes
4 up votes
0 down votes
(@moderatorboardoftaxationsecretariat)

Tell it to the Tax Office

Guidance on Research and Development

There is currently little guidance provided to the mining industry on Research and Development (R&D) and its interactions with the tax system. Propose that the ATO provide consistent levels of R&D guidance/advice across all industries in order to provide clarity and certainty.

Voting

3 votes
3 up votes
0 down votes
(@darren)

Can government fix it

Market Valuations and Main Residence

Currently a market value rule applies when a former home is first rented after August 1996, to invoke as its cost base and deemed acquisition date, the market valuation at the date of first rental. But many taxpayers first use a property as an investment, and then move into it as their home, and can never enjoy the maximum opportunity of the main residence exemption. For instance, if they add value to the property with... more »

Voting

3 votes
3 up votes
0 down votes
(@moderatorboardoftaxationsecretariat)

Can government fix it

Excess Superannuation Tax

The Board has received the following suggestion during the course of its consultations. The current provisions around excess superannuation tax are bureaucratic and cumbersome especially for non-executive directors with the decision to include death and disability insurance in the superannuation contributions cap. Many persons will inevitably be in breach of the cap, especially those receiving multiple group certificates.... more »

Voting

3 votes
3 up votes
0 down votes
(@ianlwallace)

Can government fix it

Personal Income Tax Return processing - time saver

Recommend Private Health Insurance rebate percentages be adjusted, if necessary, as at 30 June each year rather than current onerous 31 March, to reduce the unnecessary volume of extra information processed in almost every personal income tax return! Recommend the Department of Health (or those responsible for the related legislation) be reminded of our financial year end date , being 30 June, so they can align their... more »

Voting

3 votes
3 up votes
0 down votes