Matthew Ashby

The tax measures contained in the Federal Budget further strengthen the ATO’s powers in investigating and mitigating against tax avoidance, in an effort to increase revenue collections while not announcing meaningful changes to assist SMEs. The changes to the foreign resident CGT withholding regime are of interest, and will place a positive obligation on vendors in certain share sales to notify the ATO if their company is land rich. Given the announced changes to the principal asset test, it will be more difficult, if not impossible, for vendors of land rich entities to circumvent this regime. Please see link below for further analysis of these measures.

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📢 #TaxAdvisors #IGTOpowers to be enhanced: A Bill has been introduced to strengthen and modernise the oversight powers of the Commonwealth Ombudsman and Inspector-General of Taxation and Taxation Ombudsman (IGTO). "The Oversight Legislation Amendment (Robodebt Royal Commission Response and Other Measures) Bill 2024" contains amendments to the Inspector-General of Taxation Act 2003 to: 🔸 Impose a statutory duty on agency heads and their staff to use their best endeavours to assist the IGTO in the performance of their functions 🔸 Enhance the IGTO's powers to obtain full, free and direct access to agency records by introducing a provision equivalent to s 33(3) of the Auditor-General Act 1997, requiring agencies to provide all reasonable facilities and assistance, and 🔸 Provide the IGTO with the power to obtain access to documents and other records remotely, with a corresponding requirement for agencies to provide reasonable facilities and assistance to the IGTO in exercising this power. The Bill also makes other amendments to the Ombudsman Act 1976 in relation to the powers and capability of the Commonwealth Ombudsman. The Bill implements the government's response to recommendations 21.1 and 21.2 of the Report of the Royal Commission into the Robodebt Scheme. These recommendations aim to ensure Commonwealth agencies are subject to stronger and more rigorous scrutiny. The amendments will apply to any investigations on foot after the commencement of the Bill. ----------- Source: Oversight Legislation Amendment (Robodebt Royal Commission Response and Other Measures) Bill 2024, Parliament of Australia website, 10 October 2024 and Attorney-General, Further action on Robodebt scandal, [media release], 10 October 2024, accessed 10 October 2024. ----------- If your client is facing an ATO review, audit, or dispute, get in touch today: legal@littlecfo.com ------- Always seek advice specific to your circumstances directly from your appointed professional advisor. #Tax #TaxLawyer #AustralianTax #ATOdisputes

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The Australian government recently unveiled draft amendments on public country-by-country tax transparency, reflecting feedback since 23 April 2023. 🌐💼 These amendments, still in draft stage, aim to align reporting regulations with international standards and better serve stakeholders. Key amendments include: · Effective Date: Postponed to 1 July 2024. · Disclosure Content: Streamlined to adhere more closely to OECD standards. · Income Threshold: Only applicable when Australian-sourced annual income exceeds AUD 10 million. · Consolidated Reporting: Limited to Australia and 41 specific jurisdictions, with allowances for consolidated reporting elsewhere. While pending legislation, it's crucial for multinational enterprises to understand potential implications. Stay informed for smoother compliance in a changing regulatory landscape. #taxtransparency #legislationupdates #globalbusiness #compliance #taxation #internationalstandards #australia #corporategovernance #financialreporting #taxreforms #multinationalenterprises #businessinsights

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“The Fast-track Approvals Bill poses significant risks to the environment and will achieve sub-optimal decision-making, poor allocation of resources and increased litigation risk if it proceeds as proposed.” The Commissioner has released his submission on the Fast track Approvals Bill where he lays out the key problems with the proposed legislation and the changes that are needed. His recommendations are: ▪️Remove the role of Ministers as final decision-makers. ▪️Limit eligible projects to those that provide significant public benefits. ▪️Elevate environmental considerations, including into the purpose clause, and restore the role of the Minister for the Environment. ▪️Exclude previously declined or prohibited activities from the fast-track process. ▪️Lengthen the proposed timelines for the consenting process. ▪️If they remain decision makers, require Ministers to explain any deviation from a panel’s recommendations. ▪️Require decision makers to make an explicit statement about the level of uncertainty that applies to any information relevant to environmental risk, and to undertake rigorous cost/benefit analysis of all referred projects. ▪️Expand the range of parties who are entitled to have their views listened to by the panels. You can read the full submission here: https://lnkd.in/gfF-AUqM 📷 Mark Tantrum, NZTA.

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📢 Important Update from ATO on SMSF Auditing Standards Attention SMSF auditors and trustees! The Australian Taxation Office has announced a crucial update regarding the SMSF independent auditor's report. Auditing Standard ASQC 1 has been replaced with Auditing Standard ASQM 1 in Part B of the report. Ensure compliance for reporting periods starting on or after 1 July 2024. Read the full details here: https://lnkd.in/gtR3wrih #SMSF #ATO #AuditingStandards #Superannuation #Compliance

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ATO: Trust distributions done right - Getting the “basics right for your clients” to avoid “unexpected outcomes” The ATO has provided guidance to assist advisors of trust clients in preparing for year-end distributions. Risk mitigating considerations highlighted by the ATO include reviewing trust deeds and amendments, ensuring streaming provisions are adequate and supporting clients in notifying beneficiaries of their entitlements. As noted by the ATO, “Getting these basics right for your clients will help them avoid any unexpected outcomes.” Enter Trust Evolve™ - Acis’ comprehensive solution combining specialist trust deed review and amendment by our expert legal team with practical tools and strategies to deliver trust distributions with confidence. When was the last time you completed a review of your client’s trust deeds? Acis is here to help: 1. Learn more about Trust Evolve™ 👉 https://bit.ly/3QvEUd1 2. Secure Acis' Exceptional Trust Evolve™ Offer 👉 https://bit.ly/4bmdX41 Read the full article here 👉 : https://bit.ly/4bjyLsw #Acis #TrustDeeds #RiskMitigation #Accounting #FinancialAdvisory #ATO

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It's clear from the SMSF Association's cautionary stance that the rapid influx of regulatory changes is overwhelming tax professionals. The insistence on thoughtful reform that addresses clear policy needs resonates, especially given the impact on both current and future practitioners. This underscores the importance of a balanced approach that considers alternatives to regulation and ensures orderly implementation. https://lnkd.in/g_rr4buW

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🔍 Understanding Qualified SMSF Audits A qualified audit does not mean your SMSF is non-complying or will incur penalties. 🛑 Many trustees worry about asset valuations, but a qualified audit simply means more evidence is needed. It’s important to remember that the ATO reviews these cases carefully. 🗣️ What You Should Know: • A qualified audit isn’t always a bad sign. 📊 Sometimes it’s just a matter of incomplete information, especially with private investments. • There’s no need to panic unless there’s intentional wrongdoing that causes financial loss or impacts taxes. 💡 Key Takeaway: Work with our auditor to understand the reasons for the qualification. Your SMSF can still be compliant! #SMSFAudit #QualifiedAudit #ComplianceMatters #AssetValuation #Superannuation #SMSFManagement #ATORegulations #PrivateInvestments #AuditRequirements #FinancialCompliance #AccountingServices #FinancialReporting #Australiansmsf #Australiantax #ATO #AustralianAccounting #smsf #outsourcing

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Tax advisors should be mindful of #OperationProtego, which is an ATO-led investigation into large-scale #GSTfraud that was promoted particularly on social media. The attempted fraud involves an individual: 🔺 inventing a fake business; 🔺 lodging a fraudulent Australian business number (ABN) application; and 🔺 submitting fictitious business activity statements (BAS) to attempt to gain a false GST refund. A recent ATO media release details the latest in sentencing for Operation Protego: 🔶 16 October 2024: - A woman has been sentenced to 4 years jail with a non-parole period of 2 years and 4 months, and was ordered to repay $599,349. 🔶 Charges: - one count of obtaining a financial advantage by deception - one count of attempting to obtain a financial advantage by deception. 🔶 Details of the fraudulent GST refund: - The woman registered for both an ABN and for GST in November 2021 for a residential cleaning business. Between November 2021 and March 2022, she lodged fraudulent BAS. - The woman obtained $599,349 in fraudulent GST refunds she was not entitled to and attempted to obtain a further $259,976, which was stopped by ATO officers. For the latest news and further sentences handed down as a result of Operation Protego, see: https://lnkd.in/e3qR52SA ------- Always seek advice specific to your circumstances directly from your appointed professional advisor. #Tax #TaxLawyer #AustralianTax

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The federal generation-skipping transfer (GST) tax is a relative newcomer in the transfer tax environment. It also has some extremely complex rules governing when allocations of the GST exemption must be made to shelter gifts and death transfers to multi-generation trusts. Partners John Cummins and Jeremy Gerch write about the IRS’s final regulations on GST exemption allocations, which include one new automatic extension and some simplification of the private letter ruling approach for discretionary extension requests. Read more: https://lnkd.in/g9DzAVj8 #EstatePlanning #EstateTax #IRS #GST

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The ATO has significantly adjusted its attitude toward the evidence auditors should obtain in determining whether a charge is held over an SMSF asset. https://ow.ly/rh4850TyxST DBA Lawyers #SMSF #financialplanning #financialservices #ausbiz #accounting #superannuation #smsmagazine

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The joint Business Council of Australia and Corporate Tax Association submission on public CBC reporting calls for a few changes to definitions to align with existing CBC requirements and for more objective criteria for determining which jurisdictions should be disaggregated. We also recommend a wholesome review of Australia’s public tax transparency landscape. In our view, the current suite of measures is fragmented and confusing rather than purposeful and clear. Link to submission: https://lnkd.in/g_7jetZr

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With some minor tweaks to definitions and some transparency around the disaggregated list will make this measure more meaningful and relevant in the current tax environment.

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The newly released AICD #PracticeStatement focuses specifically on a director’s duty of care and diligence in overseeing a company’s regulatory compliance obligations. It provides practical guidance and suggested steps for non-executive directors to discharge their duty, as well as 'red flags' to look out for. "As long as you're asking the questions that are keeping you up at night, you are doing the right thing." - Naomi Edwards FAICD, Chair AICD Download your copy today: https://bit.ly/3YeGwMx #RegulatoryCompliance #DirectorsDuties

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**Draft Online Investment Platforms Guidance by Inland Revenue**   Inland Revenue (IR) has issued draft guidance to help share investors, particularly those using online investment platforms, understand their tax obligations. This guidance, open for public consultation until 24 September 2024, includes a detailed statement and fact sheets that summarize key rules for investors – see here - https://lnkd.in/gYAiSHxx   The guidance clarifies when to apply Foreign Investment Fund (FIF) rules versus ordinary tax rules, emphasizing the need to declare income from dividends and taxable share sales. Investors are advised to check if tax on dividends are withheld by their platform or broker, as they may need to file a tax return if it isn't.   Additionally, the guidance explains when share sales are taxable, noting that even occasional sales are taxable if the shares were bought with the intent to resell. Investors are encouraged to keep records of their reasons for purchasing shares. The guidance does not apply to managed funds, KiwiSaver, non-individuals, or illiquid investments in closely held companies.   We are ready and able to assist with structuring and reporting your investments efficiently. Please get in touch with the Bellingham Wallace tax team today through Michelle Turner or Serjit Singh. #IR #InlandRevenue #OnlineInvestmentPlatforms #UnderstandYourTaxObligations #BellinghamWallace

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Attending the 10th-anniversary celebration of IDCARE was inspiring. Over the last 10 years, IDCARE has been at the forefront of supporting victims of privacy breaches, and their commitment to addressing these challenges remains as important as ever. At the celebration, Australia’s Privacy Commissioner - Carly Kind was asked about what we could do in protecting the vulnerable from the increasing frequency and complexity of data breaches — she responded with a reminder that organisations must play a #proactiverole in driving systemic change in how we manage and protect data in addition to education and raising awareness. As breaches become more prevalent, it's crucial for organisations to not only respond effectively but also to implement robust strategies to prevent such incidents. Having helped organisations prepare for and respond to various data breach incidents where personal data have been stolen, data breach notification and victim support is often one of the last considerations given the lack of preparation. A few key pitfalls we’ve seen: 1️⃣ End-to-end data breach response has not been thought through and tested prior to incidents occur including the breath of internal and external stakeholders to consider, engage, coordinate and liaise with. 2️⃣ Onboarding relevant third party service providers in the middle of a live breach response can be time consuming, distracting and delaying the response efforts. 3️⃣ Lack of infrastructure to conduct large scale data breach notification and victim support. 4️⃣ Ineffective breach notification efforts as often data breached are aged and it requires data cleansing and verification processes to enhance the success of the victim outreach. At PwC Australia, we're dedicated to helping organisations navigate these pitfalls to minimise immediate impact from data breach incidents and strengthen long-term data security. If you're interested in discussing holistic data breach preparation and response strategies and/or sharing your experience, feel free to reach out. #DataSecurity #PrivacyProtection #CyberSecurity #IDCare #BreachResponse #VictimSupport #Resilience Robert Di Pietro Andrew Gordon Jonathan Benson Stuart Shinfield Matthew Hunt Christopher Daniell Natalie Mu Quan Dai Hamish Gates Julia Wighton

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The ACCC recommends it, Upworth does it - Part 3 Contrary to comparison websites, Upworth is fully independent (0 fee/0 savings account commercial arrangement) ● Nobody pays us to tell you which savings account to look at or how to look at it. We serve you; ● Yet, as per the ACCC ́s findings, comparison websites can be paid an average of around $10 per click. The ACCC notes that “products that are ‘sponsored’ are generally paying a higher cost per click amount in return for ‘top’ positioning in search results. In some cases, banks may pay a much more significant charge when a customer does follow through from a comparison website, to open an account; this charge can range from approximately $150–400 per acquisition depending on comparison website and bank.” The ball is in your court - see you in Upworth! #ACCC #SavingsAccountsComparison #Upworth

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