The Tax Institute is the most respected and influential contributor to the development of tax policy and administration in Australia. As part of this contribution, we prepare top level submissions on tax policy, administration and technical matters at both Federal and State levels. Non-confidential submissions prepared from 1996 onwards and covering legislation, ATO and Treasury consultative documents and papers, as well as rulings, determinations and a range of other ATO opinion and guideline documents, are available here.
02 Nov 2018
From 1 July 2019, the proposed legislation will limit deductions for expenses associated with holding vacant land. The measure does not apply to expenses associated with holding vacant land that is used by the owner or a related entity to carry on a business.
Members are concerned that the Government has significantly underestimated the scale and scope of arrangements that are going to be affected under the proposed legislation. Further, in our opinion, the proposed legislation creates significant uncertainties. As the law is currently drafted, if land is not genuinely held for the purpose of generating assessable income, the costs are not deductible. In our opinion, the integrity issues should be addressed through better enforcement rather than making the tax system more complex by introducing further legislation.
02 Nov 2018
The Tax Institute welcomes the invitation to make a submission to Treasury in relation to the Government’s work test exemption for recent retirees. The stated objective to the proposed legislation and regulations is to provide a one‑year exemption from the work test for superannuation contributions, to allow recent retirees to boost their superannuation balances.
01 Nov 2018
The Tax Institute is concerned with the approach the ATO is taking to earnout arrangements and interpreting earnout rights as if they create a ‘separate asset’ and, in particular, that this would create differing tax outcomes in respect of earnout arrangements. The Tax Institute does not agree with this position. Our submission addresses the questions in the Discussion Paper with this in mind.
05 Oct 2018
The Tax Institute welcomes the opportunity to make a submission to the Australian Taxation Office in relation to the Draft LCR 2018/D7: Base Rate Entities and Base Rate Entity Passive Income (Draft LCR). Our submission below addresses our main concerns in relation to the Draft LCR. In particular, we have made comments in relation to certain definitions used in the Draft LCR; some of the examples in the Draft LCR; and some minor comments in relation to some of the guidance documents referred to in Appendix 1 of the Draft LCR.
03 Oct 2018
Further to a Superannuation Reforms Priority list we submitted to Treasury and the ATO on 21 June 2018 (refer Annexure A), and a meeting with Treasury and the ATO on 1 August 2018 - The Tax Institute has suggested solutions in relation to the reform issues we raised in our Superannuation Reforms Priority list. The purpose of this letter is to outline our suggested solutions in relation to the legacy pension issue raised in our Superannuation Reforms Priority List.
16 Aug 2018
The Tax Institute has made a submission to the Australian Taxation Office in relation to the issues currently being considered by the ATO Professional Firms Working Group. Our submission relates to the following three documents (Draft Guidance) issued for consultation to the ATO Working Group on 28 June 2018, including: Definition of professionals; Commercial Rationale; and High Risk Factors. We have extracted a copy of the Draft Guidance issued by the ATO in relation to the above in the Appendix.