17 May 13 NTLG Consolidation Sub-Committee
On Tuesday 7 May, Jenny Wong, KPMG, CTA and Peter Murray, KPMG, CTA attended a meeting of the NTLG Consolidation Sub-Committee on behalf of The Tax Institute.
The discussion focussed on the ATO’s proposed final view on issues relating to the ‘rights to future income’ application rules in Part 4 of Tax Laws Amendment (2012 Measures No.2) Act 2012, which are relevant for determining whether a taxpayer’s past assessment is protected, despite retrospective legislation amendments.
The ATO advised it is looking to issue taxation determinations within the next three months. The rights to future income prospective rule issues and current ATO compliance activity were also discussed.
ATO compliance activities on RTFI claims
The ATO advised that preliminary risk review letters have gone out to a limited number of taxpayers. A further batch of letters is intended to be sent in the coming weeks with a more targeted focus on the type of assets involved.
The ATO will commence compliance activities on the large business sector shortly. The ATO has published a document in April 2013 setting out details of the ATO’s assurance activities, which is aligned to the information request in the SME ATO letter. The ATO is considering a tailored approach in the Large Market which may reflect the taxpayer’s risk rating and other variables such as the kind of industry taxpayer is in, its assets and liabilities.
Members who seek further information are welcome to contact us at Tax Policy.