Publication date: 10 May 02 |
Source: THE TAX INSTITUTE
On the eve of the Business Coalition For Tax Reform's meeting to vote on the controversial Tax Value Method, the Taxation Institute of Australia reiterates its belief that that TVM does not contribute positively to the improvement and reform of Australia's tax regime.
"We hope that the BCTR will take notice of the outcome from a recent BCTR subcommittee discussion paper" said Barry Low, President of the Taxation Institute of Australia after reading recent reports suggesting that the BCTR subcommittee was not convinced that TVM represents a significant improvement over the current system.
"With commentary coming from many different areas of Tax in regards to the lack of support for TVM, the Institute maintains it belief that the Board of Taxation should advise the Treasurer to bring a halt to any further work on TVM" commented Barry Low.
"We continue to stress that TVM is unsubstantiated and does not guarantee certain or quantifiable benefits. TVM does not justify the disruption, particularly for small and medium sized Australian business" he reiterated.
"As we have previously stated, it remains obvious to the Taxation Institute of Australia that TVM is not the solution to the problems with the tax system. We believe that the board should look at other areas requiring reform including remaining "black holes" expenditure and the Taxation of Financial Arrangements regime. Action on these matters is required now, not in 2003 and not in 2005" urged The Taxation Institute of Australia's President.