News

From 1 July 2017, the supply of services, digital products or rights are connected with Australia (and so potentially liable to GST) if made to an Australian consumer by an overseas-based supplier. This is referred to as the digital import or “Netflix tax” rules. GST Ruling GSTR 2017/1...

For the 2016–2017 income year, the company tax rate for small businesses decreases to 27.5%. Companies with turnover of less than $10 million are eligible for this rate. The maximum franking credit that can be allocated to a frankable distribution has also been reduced to...

A pipe fitter has been denied deductions, due to lack of evidence, by the Administrative Appeals Tribunal (AAT) for work-related expenses: Re Hamilton and FCT [2017] AATA 734. The expenses fell into three categories: tool expenses ($945) – although his employer provided tools, the taxpayer said...

Super reforms: SMSF commutation requests to stay within $1.6 million pension cap The ATO has released Practical Compliance Guideline PCG 2017/5, which outlines the circumstances where the ATO will not conduct compliance reviews for pension commutation requests made before 1 July 2017 by a member of a self managed...

A taxpayer has been denied a deduction for car expenses incurred in transporting equipment to and from work, partly because the storage facilities at her workplace were adequate: Re Rafferty and FCT [2017] AATA 636, AAT No 2015/3723. The taxpayer was employed as a stevedore. In...

The Government has announced a package of reforms to higher education – the Higher Education Reform Package – to take effect generally from 1 January 2018. Under the package the maximum student contribution will increase from 1 January 2018, but there will be no up-front fees and no deregulation...