Published on 07 Nov 13
by NATIONAL DIVISION, THE TAX INSTITUTE
The form of the government’s “new” Part IVA is now known and it also appears that there will be a renewed focus by the ATO on the possible application of PartIVA to transactions undertaken by SMEs that have regard to the tax outcomes. It will be critical for advisers to understand the changes and factor them into the advice provided.
This paper examines:
- do the amendments reflect a change in the policy of Part IVA and specifically, does the dominant purpose test remain untouched?
- the operation and impact of the introduced “tax effects” element resulting in a new approach to assessing the “alternative postulates”
- does the alternative postulate need to be reasonable any longer?
- what is happening to the concept of “scheme”?
- the key issues to consider when providing tax structuring advice.
Grant is the Head of the Australian Tax Centre at KPMG. Grant has a background in providing tax advice relating to international and domestic tax structuring, international cross-border acquisitions and initial public offerings. Grant has been the lead Tax Partner on many high-profile projects in the Australian and international markets, including the Wesfarmers acquisition of Coles Limited, Macquarie Group consortia acquisitions of Boart Longyear Limited and Dyno Nobel Limited and their subsequent listing on the Australian Securities Exchange. Grant now leads the consultation on new law and response to base erosion and profit shifting (BEPS) and the OECD Action Plan. He is a member of the Treasury BEPS Advisory Group.
- Current at
14 September 2017