Public advice and guidance community

Welcome

This Public advice and guidance community is one of the ways we are engaging with the community to understand the issues that are important to you and to help us better target our advice and guidance solutions.

We want ATO public advice and guidance to be effective in providing certainty for the community and to be targeted to appropriate issues. Early consultation is a key element of our strategy to achieve this.

The Public Advice and Guidance Centre monitors this discussion board but cannot comment on or endorse every post. We offer a range of products to help you understand how the law applies to you. This includes public advice and guidance and private advice and guidance, see Advice and Guidance.

Have your say

You can provide us feedback on topics you would like us to discuss with the community.

Welcome

This Public advice and guidance community is one of the ways we are engaging with the community to understand the issues that are important to you and to help us better target our advice and guidance solutions.

We want ATO public advice and guidance to be effective in providing certainty for the community and to be targeted to appropriate issues. Early consultation is a key element of our strategy to achieve this.

The Public Advice and Guidance Centre monitors this discussion board but cannot comment on or endorse every post. We offer a range of products to help you understand how the law applies to you. This includes public advice and guidance and private advice and guidance, see Advice and Guidance.

Have your say

You can provide us feedback on topics you would like us to discuss with the community.

  • Consultation on housing affordability measures

    3 days ago
    Consultation on the housing affordability measures is now closed for discussion.
    Published: Wednesday 15 August, 2018

    Following public consultation, Draft Law Companion Ruling (LCR) 2018/D5 First Home Super Saver Scheme has been published as final, LCR 2018/5. This ruling provides guidance on the First Home Super Saver (FHSS) scheme, which is designed to help individuals boost their savings for their first home.

    The FHSS scheme is designed to allow individuals who make voluntary contributions into their super to withdraw those contributions (up to certain limits) and associated earnings for the purpose of purchasing their first home.

    This ruling provides guidance on the operation of the...
    Published: Wednesday 15 August, 2018

    Following public consultation, Draft Law Companion Ruling (LCR) 2018/D5 First Home Super Saver Scheme has been published as final, LCR 2018/5. This ruling provides guidance on the First Home Super Saver (FHSS) scheme, which is designed to help individuals boost their savings for their first home.

    The FHSS scheme is designed to allow individuals who make voluntary contributions into their super to withdraw those contributions (up to certain limits) and associated earnings for the purpose of purchasing their first home.

    This ruling provides guidance on the operation of the scheme, assists individuals and their advisors to determine the eligibility requirements and obligations under the scheme.

    Find out more:
    We have published the following draft Law Companion Rulings (LCRs) for consultation:
    • Law Companion Ruling LCR 2018/D5 First Home Super Saver Scheme (PDF 92kb)

    • Law Companion Ruling LCR 2018/D4 Housing affordability measures: Contributing the proceeds of downsizing to superannuation. (PDF 112kb)
    These measures are part of the Australian Government’s broader housing affordability package to reduce pressure on housing affordability in Australia. The draft LCRs provide guidance on how these new measures will apply and clarify new concepts introduced by the measures.

    We encourage you to provide your comments on these draft LCRs via the confidential online feedback form by COB Thursday 21 June, 2018.
  • Thank you for your ideas

    over 1 year ago
    Updated: Tuesday 5 December 2017

    Thank you to our community members for continuing to think about ideas for public advice and guidance.

    Idea: Action/Response:
    E-Bay prices have multiplied in last few years as opportunist buyers trawl and inflate prices by dominating the bidding in most areas for $$$ gain instead of wanting to buy or sell for their own home, as we do. They operate as a business, WITHOUT paying tax as antique dealers. E-Bay don't care, the higher the prices the more they earn. The ethos of buying a lamp eg for home is ruined as I bid against people from affluent areas whom don't WANT the item for home, but to on-sell at a profit, AGAIN without paying tax. It's unfair and corrupt. The ATO has an ongoing online selling data matching program developed to ensure that taxpayers are correctly meeting their taxation obligations in relation to their sales through online selling sites. More information about the program can be found within the Online Selling Data Matching Program Protocol.
    Have mentioned this to ATO before but nothing doing so will try again. All good accountants reconcile their client's GST, PAYG W, wages etc at year end. To do this you basically enter in the GST Paid, Collected, PAYG W, wages etc for each BAS into an annual worksheet and cross check with the accounts. You basically cannot download this data from the portal, you have to look up each BAS and key it in. The result is time wasting when, it seems to me, getting it as a download in a CSV etc, would eliminate re-keying. We live in a world of automation and technology, ATO seems to be always pushing it, so why not some proactive thinking around the Tax Agent Portal? Thanks for your idea Robert.
    The ATO is committed to improving online services for tax agents and work is currently underway on this. We are also working with software developers to provide additional functionality through practice management software.
    Your suggestions are being considered by the relevant teams working on these initiatives.
    Can you please add categories to the webinars, ie Tax Professional, BAS Agent. I get 5 or 10 minutes into a webinar and it is not relevant to me. I am a BAS agent and don't need to watch info about Tax Returns or Super Fund Reporting. It would be nice if it was clear which ones I should be watching We have considered this idea and think that categorising webinars by target audience as well as by topic would be useful and improve the user experience. We are looking into this and will provide an update here once we have considered this further.
    The concept of a Significant Global Entity (SGE) is relatively new in the tax law, and a number of new tax rules now rely on this definition (ie, increased penalties, Country-by-Country reporting, Diverted Profits Tax). Some limited guidance on the SGE definition is included in LCG 2015/3 relating to Country-by-Country reporting, however as this concept now applies to a number of other provisions, it would be beneficial if the ATO could expand and collate this guidance into a single product that can be applied across relevant provisions. Some issues that could be considered for guidance include: - identifying the relevant global parent entity and global group (including linkages with accounting principles and commercially accepted principles where accounting principles do not apply) - currency conversion - identifying the relevant global financial statements - entities joining or leaving an SGE "group" part way through a year - additional guidance on the meaning of 'annual global income'. Recently, we received a suggestion to produce public advice and guidance on the significant global entity (SGE) definition.
    We are currently preparing public advice and guidance in relation to Country by Country reporting and General Purpose Financial Statements that address the SGE definition. We intend to publish to this guidance in the near future. While we are not giving consideration to the development of any additional guidance on the SGE definition at this time, our guidance will be applicable to other measures that utilise this definition (such as the MAAL and DPT measures).
    It would be very helpful for the ATO to present a webinar on WET tax. There are no courses available and little knowledge out there in the field. We like the idea of holding a webinar on the Wine Equalisation Tax (WET). The Government recently foreshadowed legislative changes to the WET rebate: see Media Release 2016/108. With this in mind, we plan to host one following the passage of new law, when a Webinar will be of most benefit to the wine industry. Thanks for your suggestion. In the meantime, you can find guidance on WET at Wine Equalisation Tax and general enquiries can be directed to wettechadvice@ato.gov.au.
    Guidance on Div7A and deceased estates (ATO ID 2002/71 and ATO ID 2012/77) Both ATO IDs appear to be contradictory on the same matter. Clarity is needed regarding situations where a loan is made during an income year but the shareholder dies in the following income year before the company's lodgement due date and no actions were undertaken in relation to the loan. Other scenarios such as amalgamated loans, prior to or after probate, should also be included. No clarity right now which ID is the latest. ATO ID 2002/741 last reviewed on 10 June 2014. ATO ID 2012/77 published on 17 September 2012. We’ve received feedback on ATOID 2002/741 and ATOID 2012/77. While we are of the view that both are correct, and not contradictory, we acknowledge the need to take a closer look at how we can provide clearer guidance on the issues. We’ll provide an update here once we have considered this further.

    Click here to view the ideas that have already been submitted by our community members.

    Keep those ideas coming.
    Updated: Tuesday 5 December 2017

    Thank you to our community members for continuing to think about ideas for public advice and guidance.

    Idea: Action/Response:
    E-Bay prices have multiplied in last few years as opportunist buyers trawl and inflate prices by dominating the bidding in most areas for $$$ gain instead of wanting to buy or sell for their own home, as we do. They operate as a business, WITHOUT paying tax as antique dealers. E-Bay don't care, the higher the prices the more they earn. The ethos of buying a lamp eg for home is ruined as I bid against people from affluent areas whom don't WANT the item for home, but to on-sell at a profit, AGAIN without paying tax. It's unfair and corrupt. The ATO has an ongoing online selling data matching program developed to ensure that taxpayers are correctly meeting their taxation obligations in relation to their sales through online selling sites. More information about the program can be found within the Online Selling Data Matching Program Protocol.
    Have mentioned this to ATO before but nothing doing so will try again. All good accountants reconcile their client's GST, PAYG W, wages etc at year end. To do this you basically enter in the GST Paid, Collected, PAYG W, wages etc for each BAS into an annual worksheet and cross check with the accounts. You basically cannot download this data from the portal, you have to look up each BAS and key it in. The result is time wasting when, it seems to me, getting it as a download in a CSV etc, would eliminate re-keying. We live in a world of automation and technology, ATO seems to be always pushing it, so why not some proactive thinking around the Tax Agent Portal? Thanks for your idea Robert.
    The ATO is committed to improving online services for tax agents and work is currently underway on this. We are also working with software developers to provide additional functionality through practice management software.
    Your suggestions are being considered by the relevant teams working on these initiatives.
    Can you please add categories to the webinars, ie Tax Professional, BAS Agent. I get 5 or 10 minutes into a webinar and it is not relevant to me. I am a BAS agent and don't need to watch info about Tax Returns or Super Fund Reporting. It would be nice if it was clear which ones I should be watching We have considered this idea and think that categorising webinars by target audience as well as by topic would be useful and improve the user experience. We are looking into this and will provide an update here once we have considered this further.
    The concept of a Significant Global Entity (SGE) is relatively new in the tax law, and a number of new tax rules now rely on this definition (ie, increased penalties, Country-by-Country reporting, Diverted Profits Tax). Some limited guidance on the SGE definition is included in LCG 2015/3 relating to Country-by-Country reporting, however as this concept now applies to a number of other provisions, it would be beneficial if the ATO could expand and collate this guidance into a single product that can be applied across relevant provisions. Some issues that could be considered for guidance include: - identifying the relevant global parent entity and global group (including linkages with accounting principles and commercially accepted principles where accounting principles do not apply) - currency conversion - identifying the relevant global financial statements - entities joining or leaving an SGE "group" part way through a year - additional guidance on the meaning of 'annual global income'. Recently, we received a suggestion to produce public advice and guidance on the significant global entity (SGE) definition.
    We are currently preparing public advice and guidance in relation to Country by Country reporting and General Purpose Financial Statements that address the SGE definition. We intend to publish to this guidance in the near future. While we are not giving consideration to the development of any additional guidance on the SGE definition at this time, our guidance will be applicable to other measures that utilise this definition (such as the MAAL and DPT measures).
    It would be very helpful for the ATO to present a webinar on WET tax. There are no courses available and little knowledge out there in the field. We like the idea of holding a webinar on the Wine Equalisation Tax (WET). The Government recently foreshadowed legislative changes to the WET rebate: see Media Release 2016/108. With this in mind, we plan to host one following the passage of new law, when a Webinar will be of most benefit to the wine industry. Thanks for your suggestion. In the meantime, you can find guidance on WET at Wine Equalisation Tax and general enquiries can be directed to wettechadvice@ato.gov.au.
    Guidance on Div7A and deceased estates (ATO ID 2002/71 and ATO ID 2012/77) Both ATO IDs appear to be contradictory on the same matter. Clarity is needed regarding situations where a loan is made during an income year but the shareholder dies in the following income year before the company's lodgement due date and no actions were undertaken in relation to the loan. Other scenarios such as amalgamated loans, prior to or after probate, should also be included. No clarity right now which ID is the latest. ATO ID 2002/741 last reviewed on 10 June 2014. ATO ID 2012/77 published on 17 September 2012. We’ve received feedback on ATOID 2002/741 and ATOID 2012/77. While we are of the view that both are correct, and not contradictory, we acknowledge the need to take a closer look at how we can provide clearer guidance on the issues. We’ll provide an update here once we have considered this further.

    Click here to view the ideas that have already been submitted by our community members.

    Keep those ideas coming.
  • Consultation: Substantiating cryptocurrency taxation events

    3 months ago
    CLOSED: This discussion has concluded.

    Public advice and guidance community homepage

    Table of contents for Consultation: Substantiating cryptocurrency taxation events
    Overview
    Record keeping
    Exchanging one cryptocurrency for another cryptocurrency
    Substantiating cryptocurrency taxation events - feedback form

    Overview

    We published public advice regarding the income tax treatment of Bitcoin, and other cryptocurrency that has the same characteristics as Bitcoin, in a series of taxation determinations in 2014. Since that time, in response to questions being asked by the community, we have made minor changes to our web guidance about the taxation treatment of cryptocurrency.

    Over the last 12 months, there has been increased interest in cryptocurrency in Australia and, on 13 March 2018, we updated our web guidance Tax treatment of cryptocurrencies to address some of the common enquiries in relation to cryptocurrency transactions. Any reference to 'cryptocurrency' in this consultation refers to Bitcoin, or other crypto or digital currencies that have the same characteristics as Bitcoin.

    The purpose of this consultation is to seek feedback on practical compliance issues arising from complying with taxation obligations in relation to cryptocurrency transactions. In particular, we are interested in any practical issues that may impact on taxpayers’ abilities to calculate and substantial any capital gains and losses for capital gains tax (CGT) purposes.

    Your feedback may also be taken into account when developing further advice and guidance products in relation to the taxation of cryptocurrency.

    This consultation is limited to the following issues:

    • record-keeping as it relates to cryptocurrency transactions, and
    • exchanging one cryptocurrency for another cryptocurrency.

    Feedback on these topics can be submitted through our confidential feedback form.

    Go to Table of contents

    Record keeping

    The CGT record-keeping rules require you to keep records of whatever can reasonably be expected to be relevant to working out whether you have made a capital gain or loss from a CGT event.

    You need to keep the following records in relation to your cryptocurrency transactions:

    • the date of the transactions
    • the value of the cryptocurrency in Australian dollars at the time of the transaction (which can be taken from a reputable online exchange)
    • what the transaction was for and who the other party was (even if it’s just their cryptocurrency address).

    Questions for consultation

    • Are there any practical issues that arise in relation to the CGT record-keeping rules, so far as cryptocurrency transactions are concerned?
    • Are there any specific factors that you think we should take into account when developing further public advice and guidance about CGT record-keeping for cryptocurrency?

    Go to Table of contents

    Exchanging one cryptocurrency for another cryptocurrency

    Where you exchange one cryptocurrency for another cryptocurrency, you dispose of one CGT asset and acquire another CGT asset. Where you receive property instead of cash as part of a transaction, you are usually taken to have received the market value in Australian dollars of the property received.

    You must compare the CGT cost base of the cryptocurrency item disposed of with the market value of the new cryptocurrency item obtained for all exchange transactions.

    Records need to be retained for each transaction, in accordance with the record keeping rules. This means that each item is separately accounted for and recorded when it is acquired and disposed of, with relevant Australian dollar values recorded.

    It does not matter how many exchange transactions you undertake. You need to undertake this process for every transaction occurring during the income year.

    Questions for consultation

    • Are there any practical issues in relation to complying with the taxation obligations that arise for each cryptocurrency to cryptocurrency transaction?
    • Are there any specific factors that you think we should take into account when developing further public advice and guidance about cryptocurrency to cryptocurrency transactions?

    Go to Table of contents

    Next steps:

    You can provide your comments via our confidential feedback form.

    Go to Table of contents OR Public advice and guidance community homepage

    Public advice and guidance community homepage

    Table of contents for Consultation: Substantiating cryptocurrency taxation events
    Overview
    Record keeping
    Exchanging one cryptocurrency for another cryptocurrency
    Substantiating cryptocurrency taxation events - feedback form

    Overview

    We published public advice regarding the income tax treatment of Bitcoin, and other cryptocurrency that has the same characteristics as Bitcoin, in a series of taxation determinations in 2014. Since that time, in response to questions being asked by the community, we have made minor changes to our web guidance about the taxation treatment of cryptocurrency.

    Over the last 12 months, there has been increased interest in cryptocurrency in Australia and, on 13 March 2018, we updated our web guidance Tax treatment of cryptocurrencies to address some of the common enquiries in relation to cryptocurrency transactions. Any reference to 'cryptocurrency' in this consultation refers to Bitcoin, or other crypto or digital currencies that have the same characteristics as Bitcoin.

    The purpose of this consultation is to seek feedback on practical compliance issues arising from complying with taxation obligations in relation to cryptocurrency transactions. In particular, we are interested in any practical issues that may impact on taxpayers’ abilities to calculate and substantial any capital gains and losses for capital gains tax (CGT) purposes.

    Your feedback may also be taken into account when developing further advice and guidance products in relation to the taxation of cryptocurrency.

    This consultation is limited to the following issues:

    • record-keeping as it relates to cryptocurrency transactions, and
    • exchanging one cryptocurrency for another cryptocurrency.

    Feedback on these topics can be submitted through our confidential feedback form.

    Go to Table of contents

    Record keeping

    The CGT record-keeping rules require you to keep records of whatever can reasonably be expected to be relevant to working out whether you have made a capital gain or loss from a CGT event.

    You need to keep the following records in relation to your cryptocurrency transactions:

    • the date of the transactions
    • the value of the cryptocurrency in Australian dollars at the time of the transaction (which can be taken from a reputable online exchange)
    • what the transaction was for and who the other party was (even if it’s just their cryptocurrency address).

    Questions for consultation

    • Are there any practical issues that arise in relation to the CGT record-keeping rules, so far as cryptocurrency transactions are concerned?
    • Are there any specific factors that you think we should take into account when developing further public advice and guidance about CGT record-keeping for cryptocurrency?

    Go to Table of contents

    Exchanging one cryptocurrency for another cryptocurrency

    Where you exchange one cryptocurrency for another cryptocurrency, you dispose of one CGT asset and acquire another CGT asset. Where you receive property instead of cash as part of a transaction, you are usually taken to have received the market value in Australian dollars of the property received.

    You must compare the CGT cost base of the cryptocurrency item disposed of with the market value of the new cryptocurrency item obtained for all exchange transactions.

    Records need to be retained for each transaction, in accordance with the record keeping rules. This means that each item is separately accounted for and recorded when it is acquired and disposed of, with relevant Australian dollar values recorded.

    It does not matter how many exchange transactions you undertake. You need to undertake this process for every transaction occurring during the income year.

    Questions for consultation

    • Are there any practical issues in relation to complying with the taxation obligations that arise for each cryptocurrency to cryptocurrency transaction?
    • Are there any specific factors that you think we should take into account when developing further public advice and guidance about cryptocurrency to cryptocurrency transactions?

    Go to Table of contents

    Next steps:

    You can provide your comments via our confidential feedback form.

    Go to Table of contents OR Public advice and guidance community homepage

  • Edited versions are now available in the ATO Legal database

    3 months ago
    CLOSED: This discussion has concluded.
    Edited versions (EVs) are private rulings which we make available publicly, once confidential information (such as names of persons or entities concerned) is removed. EVs ensure transparency of our decision making and assist you in deciding whether to lodge a private ruling request, and what to include in your application.

    EVs have traditionally been available from the Register of Private Binding Rulings. However, we’ve heard your feedback that they can be difficult to search for in the Register, which is why they are now available in the ATO Legal database.

    Making EVs available in the Legal database...
    Edited versions (EVs) are private rulings which we make available publicly, once confidential information (such as names of persons or entities concerned) is removed. EVs ensure transparency of our decision making and assist you in deciding whether to lodge a private ruling request, and what to include in your application.

    EVs have traditionally been available from the Register of Private Binding Rulings. However, we’ve heard your feedback that they can be difficult to search for in the Register, which is why they are now available in the ATO Legal database.

    Making EVs available in the Legal database provides you a vastly improved search function and client experience through a superior search engine. It also means EVs are now available alongside other advice and guidance products, such as tax determinations and rulings, so you can search for EVs and other advice and guidance products in one place. Edited versions will be available in the Register to ensure continuity while we consult on these changes.

    To further improve your experience by ensuring that any search results are useful and relevant, EVs have been:

    • Archived if more than four years old (these are still available through a search of archived content), and

    • Removed if more than ten years old.

    Read more about the EV move on ato.gov.au.

    We want your feedback
    We invite you to provide feedback on the the relocation and archiving and removal of aged EVs via the confidential online feedback form. Closing date for submissions is 28 February 2018.
  • Open for Consultation – LCG 2017/D7 Diverted profits tax

    3 months ago
    CLOSED: This discussion has concluded.
    We have published draft Law Companion Guideline LCG 2017/D7 Diverted profits tax. The diverted profits tax (DPT) is a new measure introduced by the government to complement Australia’s anti-avoidance rules and strengthen the existing income tax framework.

    The draft LCG explains how the new law will apply and clarifies new concepts introduced by the measure.

    We encourage you to provide your feedback on the draft LCG via the confidential online feedback form. Closing date for submissions is the 2 February 2018.
    We have published draft Law Companion Guideline LCG 2017/D7 Diverted profits tax. The diverted profits tax (DPT) is a new measure introduced by the government to complement Australia’s anti-avoidance rules and strengthen the existing income tax framework.

    The draft LCG explains how the new law will apply and clarifies new concepts introduced by the measure.

    We encourage you to provide your feedback on the draft LCG via the confidential online feedback form. Closing date for submissions is the 2 February 2018.
  • Consultation on the definition of ‘taxi’ for fringe benefits tax purposes

    3 months ago
    CLOSED: This discussion has concluded.
    We have published a discussion paper seeking feedback on the definition of ‘taxi’ contained in the Fringe Benefits Tax Assessment Act 1986 (FBT Act) and the exemption from fringe benefits tax for taxi travel taken to or from work or due to illness under section 58Z of the FBT Act.

    In light of a recent Federal Court decision in the matter of Uber B.V. v Commissioner of Taxation [2017] FCA 110 (Uber), and proposed changes to licensing regulations in a number of states and territories, we are reviewing our interpretation of the definition of ‘taxi’ contained in...
    We have published a discussion paper seeking feedback on the definition of ‘taxi’ contained in the Fringe Benefits Tax Assessment Act 1986 (FBT Act) and the exemption from fringe benefits tax for taxi travel taken to or from work or due to illness under section 58Z of the FBT Act.

    In light of a recent Federal Court decision in the matter of Uber B.V. v Commissioner of Taxation [2017] FCA 110 (Uber), and proposed changes to licensing regulations in a number of states and territories, we are reviewing our interpretation of the definition of ‘taxi’ contained in the FBT Act.

    We’re looking for feedback from the community on an interpretation of ‘taxi’ that includes vehicles licensed to provide taxi services, including rank and hail services, ride-sourcing vehicles and other vehicles for hire.

    We invite you to provide comments on the discussion paper by 24 October 2017. To access the confidential feedback form, click here.

    See more:
  • Open for consultation - Propagation arrangements adopted by registrable superannuatiion entities

    3 months ago
    CLOSED: This discussion has concluded.
    Updated: Thursday 31 August 2017

    We have published Draft Practical Compliance Guideline (PCG) 2017/D16 Propagation arrangements adopted by registrable superannuation entities. The PCG is open for consultation until 2 October 2017.

    This draft Practical Compliance Guideline assists registrable superannuation entities to examine the characteristics of their propagation arrangements to determine the likelihood of an ATO review.

    Once finalised, we propose that it will apply from 1 July 2016 and clarifies the ATO's approach to these types of arrangements for the large superannuation industry. This guidance does not apply to self-managed superannuation funds.

    ...
    Updated: Thursday 31 August 2017

    We have published Draft Practical Compliance Guideline (PCG) 2017/D16 Propagation arrangements adopted by registrable superannuation entities. The PCG is open for consultation until 2 October 2017.

    This draft Practical Compliance Guideline assists registrable superannuation entities to examine the characteristics of their propagation arrangements to determine the likelihood of an ATO review.

    Once finalised, we propose that it will apply from 1 July 2016 and clarifies the ATO's approach to these types of arrangements for the large superannuation industry. This guidance does not apply to self-managed superannuation funds.

    We invite you to comment below to provide feedback on draft PCG 2017/D16 by 2 October 2017.
  • Draft Taxation Ruling on corporate limited partnership closes for public comment 30 June 2017

    3 months ago
    CLOSED: This map consultation has concluded
    The ATO has published draft Taxation Ruling (TR) TR 2017/D4 – Income tax: When does a corporate limited partnership ‘credit’ an amount to be a partner in that partnership?

    The draft Ruling, currently open for public comment, sets out the Commissioner’s preliminary but considered view on when a corporate limited partnership (CLP) ‘credits’ an amount to one of its partners within the meaning of section 94M of the Income Tax Assessment Act 1936.

    Consultation

    The ATO is encouraging tax professionals, legal professionals and taxpayers to get in contact with the authoring team to provide feedback on the...
    The ATO has published draft Taxation Ruling (TR) TR 2017/D4 – Income tax: When does a corporate limited partnership ‘credit’ an amount to be a partner in that partnership?

    The draft Ruling, currently open for public comment, sets out the Commissioner’s preliminary but considered view on when a corporate limited partnership (CLP) ‘credits’ an amount to one of its partners within the meaning of section 94M of the Income Tax Assessment Act 1936.

    Consultation

    The ATO is encouraging tax professionals, legal professionals and taxpayers to get in contact with the authoring team to provide feedback on the substantive content of the draft TR, and the new approach it adopts. The draft TR is available on the ATO Legal Database and is open for comment until Friday 30 June 2017.
  • Open for Consultation – Employee Share Schemes and Employee Remuneration Trust Arrangements

    3 months ago
    CLOSED: This discussion has concluded.
    Updated: Friday 9 June 2017

    As a response to feedback from the community, we recently published Draft Ruling TR 2017/D5 Income tax: employee remuneration trusts to replace Draft Ruling TR 2014/D1 Income tax: employee remuneration trust arrangements. The ATO views in TR 2017/D5 have not changed in any significant way from those expressed in TR 2014/D1 except that TR 2017/D5 does not deal with employee share schemes (ESS).

    The ATO view about dividend equivalent payments made by a trustee under an ESS is now represented in Draft Tax Determination TD 2017/D2 Income tax: when will a...
    Updated: Friday 9 June 2017

    As a response to feedback from the community, we recently published Draft Ruling TR 2017/D5 Income tax: employee remuneration trusts to replace Draft Ruling TR 2014/D1 Income tax: employee remuneration trust arrangements. The ATO views in TR 2017/D5 have not changed in any significant way from those expressed in TR 2014/D1 except that TR 2017/D5 does not deal with employee share schemes (ESS).

    The ATO view about dividend equivalent payments made by a trustee under an ESS is now represented in Draft Tax Determination TD 2017/D2 Income tax: when will a dividend equivalent payment, made by a trustee under an employee share scheme that delivers ESS interests taxed by Subdivision 83A-B or 83A-C of the Income Tax Assessment Act 1997, be assessable as remuneration under section 6-5?

    We have also released an associated Draft Practical Compliance Guideline PCG 2017/D9 Dividend equivalent payments made by a trustee under an employee share scheme. This will provide certainty for employees that a dividend equivalent payment will not be assessable to them as remuneration where the conditions outlined in PCG 2017/D9 are met.

    We invite you to provide comments on Draft Ruling TR 2017/D5 by 21 July 2017, and comments on the views expressed in Draft Tax Determination TD 2017/D2 and Draft Practical Compliance Guideline PCG 2017/D9 by 7 July 2017.
  • New draft Law Companion Guidelines for GST on cross-border supplies

    3 months ago
    CLOSED: This map consultation has concluded
    Updated: Tuesday 27 June 2017

    We have published two draft Law Companion Guidelines on GST and cross-border supplies. We invite your comments on our draft views during the consultation period, which ends on 10 July. You can provide your comments via our feedback form.

    Draft Law Companion Guideline LCG 2017/D4: GST on supplies made through electronic distribution platforms is about when an EDP operator is responsible for GST on supplies of:
    • digital products and digital services, from 1 July 2017, and
    • low value imported goods, from 1 July 2018.

    Draft Law Companion Guideline LCG 2017/D5:...
    Updated: Tuesday 27 June 2017

    We have published two draft Law Companion Guidelines on GST and cross-border supplies. We invite your comments on our draft views during the consultation period, which ends on 10 July. You can provide your comments via our feedback form.

    Draft Law Companion Guideline LCG 2017/D4: GST on supplies made through electronic distribution platforms is about when an EDP operator is responsible for GST on supplies of:
    • digital products and digital services, from 1 July 2017, and
    • low value imported goods, from 1 July 2018.

    Draft Law Companion Guideline LCG 2017/D5: When is a redeliverer responsible for GST on a supply of low value imported goods? explains how the proposed amendments for GST on low value imported goods will apply to redeliverers.

    The new draft guidance products complement the draft Law Companion Guideline we published earlier this year, Draft Law Companion LCG 2017/D2: GST on low value imported goods.

    See our Let’s Talk page for more information on how we propose to administer the new law for GST on low value imported goods.

    We will also be placing further information on our website about the measure, at www.ato.gov.au/AusGST.

    Other relevant guidance

    We have recently published the final public ruling GSTR 2017/1: making cross-border supplies to Australian consumers, which was previously issued as draft public ruling GSTR 2016/D1. This is relevant to suppliers and electronic distribution platforms in relation to imported services and digital products.