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        <title>The Tax Institute Daily Tax News RSS</title>
        
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                <title>SMSF statistical report - March 2012 </title>
                <guid>http://www.taxinstitute.com.au/news/smsf-statistical-report-march-2012</guid>
                <link>http://www.taxinstitute.com.au/news/smsf-statistical-report-march-2012</link>
                <description><![CDATA[ 
For a copy of the ATO's Self-managed super fund (SMSF) statistical report for March 2012, go here
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Reportable tax position schedule</title>
                <guid>http://www.taxinstitute.com.au/news/reportable-tax-position-schedule2</guid>
                <link>http://www.taxinstitute.com.au/news/reportable-tax-position-schedule2</link>
                <description><![CDATA[ 
For updated information about the ATO's Reportable tax position schedule, go here
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... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>GST research</title>
                <guid>http://www.taxinstitute.com.au/news/gst-research</guid>
                <link>http://www.taxinstitute.com.au/news/gst-research</link>
                <description><![CDATA[ 
The ATO has advised that TNS Social Research will be conducting GST research on its behalf during May and June 2012.
TNS Social Research will contact randomly selected tax professionals by phone to participate in an interview.
Participation in this research is voluntary and all survey responses are confidential. Both individuals and practices will not be identified in the report provided to the ATO.
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>New lodgment program framework for 2013-14</title>
                <guid>http://www.taxinstitute.com.au/news/new-lodgment-program-framework-for-2013-14</guid>
                <link>http://www.taxinstitute.com.au/news/new-lodgment-program-framework-for-2013-14</link>
                <description><![CDATA[ 
The ATO advises that from 1 July 2013, it will be introducing a new framework for the lodgment program, so that it can differentiate between registered tax agents and BAS agents (registered agents) who meet their lodgment program obligations on time and those who do not.
In order to be eligible for the concessions offered by the lodgment program, tax agents will need to:

lodge electronically 
achieve an 'on time' lodgment program performance of 85% or more.

From 1 July 2012, the ATO will begin with a transition year. The key features of the transitional year are:

tax agents will be informed of their 'on time' lodgment program performance for income tax return and fringe benefits tax (FBT) annual return obligations 
newly registered agents must lodge electronically to receive lodgment program concessions.

&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Private health insurance rebate changes</title>
                <guid>http://www.taxinstitute.com.au/news/private-health-insurance-rebate-changes</guid>
                <link>http://www.taxinstitute.com.au/news/private-health-insurance-rebate-changes</link>
                <description><![CDATA[ 
From 1 July 2012, an individual's entitlement to a private health insurance rebate will be income tested. These changes are for the 2012-13 financial year.
Taxpayers will not be entitled to their current rate of rebate if their income for Medicare levy surcharge purposes is either:

a single income of $84,001 or more 
a combined family income of $168,001 or more.

The ATO advises that in May 2012, it will send letters directly to agents' clients. A client will receive this letter where the ATO has estimated that their income for surcharge purposes is in the range where they will be affected by the changes.
The client will receive this where one of the following applies to their situation:

they have private health insurance and claim the rebate as a premium reduction 
they have claimed the private health insurance tax offset 
they have paid Medicare levy surcharge.

The letter provides information to help clients work out whether their entitlement will decrease. The ATO says that the client does not have to do anything. They may choose to contact their private health insurer to reduce the rebate they currently receive as a premium reduction to avoid incurring a liability at tax time in 2013.
The letter to taxpayers that claimed the tax offset or paid Medicare levy surcharge advises them of the changes. No action is required by the taxpayer.
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Decision Impact Statement - Allen?s Asphalt Staff Superannuation Fund</title>
                <guid>http://www.taxinstitute.com.au/news/decision-impact-statement-allen-s-asphalt-staff-superannuation-fund</guid>
                <link>http://www.taxinstitute.com.au/news/decision-impact-statement-allen-s-asphalt-staff-superannuation-fund</link>
                <description><![CDATA[ 
On 16 May 2012, the ATO issued a Decision Impact Statement in relation to the decision of the Full Federal Court in Allen (Trustee), in the matter of Allen's Asphalt Staff Superannuation Fund v FCT [2011] FCAFC 118 (7 September 2011).
The case concerned whether certain income of a superannuation fund received in its capacity of beneficiary of a trust estate was special income of the fund. The Full Federal Court concluded that the income was special income of the fund. In consequence the trustee was liable to pay tax at the rate of 47% on this amount. However, the Full Federal Court determined that no penalty should be imposed, because, contrary to the conclusion of the primary judge, the taxpayer's position was reasonably arguable.
The taxpayer's application for special leave to appeal to the High Court was refused on 10 February 2012 - see [2012] HCA Trans 25.
The ATO states that the Full Federal Court's reasons for concluding that the relevant amount was special income are consistent with the ATO view set out in TR 2006/7.
In relation to the decision that no penalty was warranted, the ATO states:
"The ATO considers that the approach of the Court on the issue of 'reasonably arguable position' is essentially consistent with the position outlined in Miscellaneous Taxation Ruling MT 2008/2 Shortfall penalties: administrative penalty for taking a position that is not reasonably arguable ('MT 2008/2') and the majority decision of the Full Federal Court in Cameron Brae Pty Ltd v&nbsp;FCT [2007] FCAFC 135 ('Cameron Brae'). We do not consider that any further changes are required to MT 2008/2, given that it already incorporates guidance from Cameron Brae.
The Full Court in Allen did not depart from nor overturn the fundamental propositions outlined by Hill J in Walstern Pty Ltd v&nbsp;FCT [2003] FCA 1428 (' Walstern '), which were endorsed by two later Full Federal Courts (Pridecraft Pty Ltd v&nbsp;FCT [2004] FCAFC 339 and Cameron Brae).
Rather, the ATO sees the reference in Allen at [75] to the approach taken in Cameron Brae as being 'somewhat less strict than that suggested by Hill J in Walstern', as being specific to context and distinguishing the Walstern case on its facts."
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>New Zealand Foreign Trust arrangements - TA 2012/2</title>
                <guid>http://www.taxinstitute.com.au/news/new-zealand-foreign-trust-arrangements-ta-2012/2</guid>
                <link>http://www.taxinstitute.com.au/news/new-zealand-foreign-trust-arrangements-ta-2012/2</link>
                <description><![CDATA[ 
On 16 May 2012, the ATO issued Taxpayer Alert TA 2012/2 entitled "New Zealand Foreign Trust arrangements".
The Taxpayer Alert describes arrangements where a New Zealand based foreign discretionary trust (New Zealand Foreign Trust) is used to avoid taxation on Australian sourced income. These arrangements may involve the provision of services, at a mark up, to an Australian resident business, or the diversion of Australian sourced income. The ATO is investigating these arrangements, including through Project Wickenby. The ATO view on the arrangement is set out in Taxation Ruling TR 2005/14.
This Alert addresses an arrangement similar to that described in Taxpayer Alert TA 2004/4 but also highlights additional features of concern. TA 2004/4 and TR 2005/14 continue to apply while new versions have been detected which warrant the issue of this Taxpayer Alert.
In media release No&nbsp;2012/14, issued 16 May 2012, the ATO warned Australian individuals and businesses who use 'New Zealand Foreign Trusts' while earning their income from Australia to be careful of these arrangements as they are currently under investigation, including under Project Wickenby.
The Commissioner, Michael D'Ascenzo, said the ATO had issued the warning because promoters of the scheme have been marketing it as a way to accumulate Australian sourced income and capital on a tax-free basis because of taxation agreements between Australia and New Zealand.
"However, we think this is incorrect and misleading," Mr D'Ascenzo said.
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Addendum: GST treatment of financial supplies and related supplies and acquisitions - GSTR 2002/2A6</title>
                <guid>http://www.taxinstitute.com.au/news/addendum-gst-treatment-of-financial-supplies-and-related-supplies-and-acquisitions-gstr-2002/2a6</guid>
                <link>http://www.taxinstitute.com.au/news/addendum-gst-treatment-of-financial-supplies-and-related-supplies-and-acquisitions-gstr-2002/2a6</link>
                <description><![CDATA[ 
On 16 May 2012, the ATO issued GSTR 2002/2A6 entitled "Goods and services tax: GST treatment of financial supplies and related supplies and acquisitions".
The addendum amends GST Ruling GSTR 2002/2 to reflect the High Court decision in Travelex v FCT [2010] HCA 33; 2010 ATC 20-214; (2010) 76 ATR 329 (Travelex). The addendum also updates the ATO view of certain transactions in light of the Travelex decision and updates the Date of Effect section of the Ruling.
&nbsp;
... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Westpac - Convertible Preference Shares - CR 2012/32</title>
                <guid>http://www.taxinstitute.com.au/news/westpac-convertible-preference-shares-cr-2012/32</guid>
                <link>http://www.taxinstitute.com.au/news/westpac-convertible-preference-shares-cr-2012/32</link>
                <description><![CDATA[ 
On 16 May 2012, the ATO issued Class Ruling CR 2012/32 entitled "Income tax: Westpac Banking Corporation - Convertible Preference Shares (CPS)".
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... ]]></description>
                <pubDate>Thu, 17 May 2012 11:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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                <title>Reform of LAFHA - draft legislation released for consultation</title>
                <guid>http://www.taxinstitute.com.au/news/reform-of-lafha-draft-legislation-released-for-consultation</guid>
                <link>http://www.taxinstitute.com.au/news/reform-of-lafha-draft-legislation-released-for-consultation</link>
                <description><![CDATA[ 
In media release No 2012/029, issued 15 May 2012, the Assistant Treasurer and Minister Assisting for Deregulation, David Bradbury, announced the release of exposure draft legislation to implement reforms to the tax concession for living away from home allowances and benefits as announced in the 2011-12 Mid-Year Economic and Fiscal Outlook (MYEFO) and the 2012-13 Budget.
As announced in the 2011-12 MYEFO, the following reforms will apply from 1 July 2012:

access to the tax concession for temporary residents will be limited to those who maintain a residence for their own use in Australia, that they are required to live away from for work (such as 'fly-in fly-out' workers); and
all individuals will be required to substantiate their actual expenditure on accommodation, and food beyond a statutory amount.

As announced in the 2012-13 Budget, the following reforms will apply from 1 July 2012 for arrangements entered into after 7.30pm (AEST) on 8 May 2012, and from 1 July 2014 for arrangements entered into prior to that time:

access to the tax concession for permanent residents will be limited to those who maintain a residence for their own use in Australia, that they are required to live away from for work; and
a 12 month time limit will be imposed on how long an employee can receive the tax concession at a particular work location.

Further details on the exposure draft bill are provided in the Attachment to the media release.
Submissions on the exposure draft close on 29 May 2012.
&nbsp;
... ]]></description>
                <pubDate>Wed, 16 May 2012 10:05:00 GMT</pubDate>
                <category>The Tax Institute Daily Tax News</category>
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