Home / HomeOn 13 November 2008, the ATO issued Taxpayer's Alert TA 2008/18 entitled "Arrangements to shift foreign business losses into Australian branches or resident entities". The Alert describes arrangements within multi-national companies operating through branches, or operating through transactions with foreign associates, which seek to shift deductions for losses from foreign operations into their Australian businesses.
Arrangements to shift foreign business losses into Australian branches or resident entities - TA 2008/18
17 Nov 2008
In a media release issued the same day, the Commissioner, Michael D’Ascenzo, said: “We have seen attempts to aggressively transfer existing or unrealised losses from the foreign operations of another business into Australia, possibly as a result of the current global economic environment.”
The ATO is currently reviewing these arrangements.
For a copy of TA 2008/18, go here.
For a copy of the ATO media release, No 2008/55, 13 November 2008, go here.