04 Sep 09 Submission on Excess Non-Concessional Contributions Tax AssessmentsOn 18 August 2009, the Taxation Institute lodged a submission with the ATO regarding correspondence from the ATO to a number of taxpayers in March 2009 relating to excess contributions tax for the 2005/2006 and 2006/2007 years. These letters were headed “You may have to pay excess contributions tax: For your information and action”. The letters advised the taxpayer that the ATO had contributions information for these years as specified in an attached schedule. In the absence of further information from the taxpayer, excess contributions tax assessments would be issued in relation to the amounts shown on the schedule. The Taxation Institute expressed concern regarding some aspects of this procedure and has suggested ways in which the potential adverse outcomes may be mitigated.
For a copy of the submission, go here.