Published on 14 Aug 09
Tax practitioners are constantly facing questions regarding the tax treatment of foreign exchange gains and losses. Despite considerable reform in 2003 the foreign exchange rules still remain a mystery to many advisers. This paper considers, through a series of case studies, commonly encountered problem areas concerning foreign exchange gains and losses. Topics covered include:
- tax v accounting
- pre-Division 775 transactions
- announced but unenacted changes
- issues with bank accounts
- impact of TOFA.