Miscellaneous

Additional tax liabilities may arise when money or assets of a foreign trust are paid to a taxpayer or applied for their benefit, and they are a beneficiary of the foreign trust.  These can include: loans to them by the trustee directly or indirectly through another entity; amounts paid by the trustee to a third […]

With millions of pieces of information now pre-filled (including information from most banks, employers, government agencies and private health insurers), the ATO is giving taxpayers with simple affairs the ‘green light’ to lodge their tax returns. Taxpayers who plan to claim deductions this year should make sure they have the correct records, and, in most […]

The Federal Court has recently overturned an Administrative Appeals Tribunal (‘AAT’) decision that a taxpayer was a resident of Australia for tax purposes (even though he was mostly living and working overseas during the relevant period). The taxpayer was a mechanical engineer who became an Australian citizen in 1978. He lived and worked in Dubai, […]

SMSFs cannot acquire an asset from a ‘related party’ (such as a member or their spouse or relative)  unless it is acquired at market value and is: a listed security (e.g., shares, units or bonds listed on an approved stock exchange); ‘business real property’ (broadly, land and buildings used wholly and exclusively in a business); […]

The ATO is advising taxpayers that having records to substantiate claims is essential to prove deductions can be claimed, having regard to the following in particular: A bank or credit card statement on its own will generally not be enough evidence to support a work-related expense claim.  Taxpayers instead need detailed written evidence such as […]