Publication date: 06 Nov 13 |
Source: THE TAX INSTITUTE
Wednesday 6 November 2013: The Federal Government’s announcement of its plans to deal with the backlog of unlegislated tax laws is a welcome development for business and individuals across the country, The Tax Institute said today.
“The Government’s move today will scrap a number of unwelcome tax measures and start the process of clearing the fog of tax law that has created uncertainty and hamstrung businesses to make informed investment decisions,” said Tax Institute President, Steve Westaway.
“In particular we applaud the Government for their sensible decision to scrap the cap on self-education expense deductions that was proposed by the previous government.
“Such a blunt policy instrument had no place in our tax system, as it worked counter to achieving an educated workforce, by providing a financial penalty to those seeking to self-fund their education.”
The Tax Institute has been the leading advocate for action to address the growing length of the unenacted tax law list.
“The uncertainty within the taxpaying community caused by the lengthy list of unenacted measures has, in some instances, distorted investment, expenditure and dividend policy decisions,” Mr Westaway said.
“We welcome both the Government’s acknowledgment of the long-held concerns of Tax Institute members and the commitment to action that should inject much-needed certainty into our tax system.
“We look forward to consulting with the Government in the short consultation period ahead to ensure appropriate decisions are made about the fate of the 64 measures that the Government is leaning towards not proceeding with and to continue our consultation with the Government on other areas where reform is needed, like the taxation of trusts and Division 7A.
“It is only through increased engagement with tax professionals that we will achieve a simpler, more equitable and more efficient tax system and avoid ever again having such an extensive list of tax law that remains unenacted.”
- Robert Jeremenko, Senior Tax Counsel, The Tax Institute: 0468 987 300;
- Stephanie Caredes, Tax Counsel, The Tax Institute: 0450 434 665