News

This page features a selection of recent cases of potential interest to our members and subscribers, as well as news updates from the Association. You can subscribe below to stay up to date with new posts.

Please note that this page is not a complete listing of all tax cases, but focuses on decisions of presidential members of the Administrative Appeals Tribunal, the Federal Court, and the High Court. Decisions may be removed from time to time.

Archive
Featured
Tags

Family Law: Tax Issues in Family Trusts

Tax Bar Association members Hadi Mazloum and Terry Murphy QC presented on the topic of Tax Issues in Family Trusts on 12 June 2020. A copy of the paper from their presentation is available here.

Bell and Commissioner of Taxation (Taxation) [2020] AATA 3194

TAXATION – tax deductions – motor vehicle expenses (heavy/bulky goods basis for determining employment related use, allowance basis for determining employment related use, inadequate record keeping) - home internet and utilities expenses and mobile telephone expenses - first aid course cost – decision set aside and allowed in part Full decision here

The Beneficiary and Commissioner of Taxation (Taxation) [2020] AATA 3136

TAXATION – whether Applicant presently entitled to distribution of net income of trust - whether purported disclaimer of distribution effective – held distribution not disclaimed – decision affirmed TAXATION – application for leave to extend grounds of objection – where application to extend grounds first made in closing reply submissions - application for leave partially refused Full decision here

N & M Martin Holdings Pty Ltd v Commissioner of Taxation [2020] FCA 1186

TAXATION – notices of appeal against appealable objection decisions under s. 14ZZ of the Taxation Administration Act 1953 (Cth.) – where assessments issued to trustee of resident discretionary trust and a non-resident discretionary beneficiary of that trust for the 2013 and 2014 years of income – where trustee made capital gains on disposal of shares in each of those years – where shares disposed of were not ‘taxable Australian property’ for purposes of Div. 855 of Income Tax Assessment Act 1997 (Cth.) – where trustee resolved to distribute to the beneficiary 99.27% and 100% of capital gains made from sale of those shares in those respective years – where trustee assessed in respect of those

Huang v Deputy Commissioner of Taxation [2020] FCAFC 141

Appeal from Application for leave to appeal: Deputy Commissioner of Taxation v Huang [2019] FCA 1728 PRACTICE AND PROCEDURE — application for leave to appeal from certain orders in a freezing order — where freezing order made in relation to assets in Australia and overseas — where applicant has substantial assets in Hong Kong and China — whether judgments of courts in Australia enforceable in Hong Kong and China — test to be applied to determine whether judgments of courts in Australia enforceable in Hong Kong and China — realistic possibility of enforcement — where judge applied incorrect test— consideration of relevant factors in this case — leave to appeal granted — appeal allowed Full de

Commissioner of Taxation v Fortunatow [2020] FCAFC 139

Appeal from: Fortunatow v Commissioner of Taxation [2019] FCA 1247 TAXATION – personal services income provisions in the Income Tax Assessment Act 1997 (Cth) – personal services business tests – unrelated clients test – relationship between ss 87-20(1)(b) and 87-20(2) – proper construction of s 87-20(1)(b) – meaning of “as a direct result” – whether appeal competent – appeal allowed with costs Full decision here

Commissioner of Taxation v Bogiatto [2020] FCA 1139

TAXATION – whether respondents engaged in conduct that resulted in them or another entity being a promoter of tax exploitation schemes in breach of s 290-50(1) of Sch 1 of the Taxation Administration Act 1953 (Cth) – where over 20 alleged tax exploitation schemes involving 14 taxpayers –where taxpayers made research and development claims under Div 355 of the Income Tax Assessment Act 1997 (Cth) – whether respondents were promoters within the meaning of s 290-60(1) of Sch1 – whether there were tax exploitation schemes within the meaning of s 290-65(1) of Sch 1 –whether respondents received scheme benefits within the meaning of s 284-150(1) of Sch 1 –meaning of tax evasion in s 290-55(6) of S

Commissioner of Taxation v Addy [2020] FCAFC 135

Appeal from: Addy v Commissioner of Taxation [2019] FCA 1768 TAXATION – Australia and United Kingdom double taxation treaty Art 25 – non-discrimination clause – working holiday makers – where respondent a citizen of United Kingdom and holder of a working holiday visa – where respondent taxed at working holiday maker rate in Pt III of Sch 7 of the Income Tax Rates Act 1986 (Cth) on income earned in Australia – whether working holiday maker rate infringes Art 25 of Australia and United Kingdom double taxation treaty – construction of non-discrimination clause – whether respondent subjected to more burdensome taxation by reason of her nationality – taxation rate based on visa held rather than n

The Buddhist Society of Western Australia Inc v Commissioner of Taxation [2020] FCA 1126

TAXATION – appeal of an objection decision under Pt IVC of the Taxation Administration Act 1953 (Cth) – where originating application also seeks judicial review of the same decision under s 5 of the Administrative Decisions (Judicial Review) Act 1977 (Cth) – where the decision is not captured by Sch 1 of the Administrative Decisions (Judicial Review) Act 1977 (Cth) – whether the Court’s statutory jurisdiction to review the decision under both Acts can be invoked in a single proceeding – whether originating application should be set aside or amended – case management considerations Full decision here

Joubert and Commissioner of Taxation (Taxation) [2020] AATA 2645

TAXATION – residency of tax payer – whether resident according to ordinary concepts – Applicant worked overseas to financially support family residing in Australia – Applicant lived in rented accommodation leased by employer – decision affirmed Full decision here

5/205 William St
Melbourne, 3000
Australia

©2018 Tax Bar Association of Victoria