Greenwoods and Freehills Weekly Tax Highlights 8.2.08 - 15.2.08

ATO Documents

Released 13.2.08
Draft Taxation Determination
TD 2008/D1: Income tax: can an Australian-formed unincorporated association of persons who do not carry on a business in common with a view to profit be a corporate limited partnership within the meaning of section 94D of the Income Tax Assessment Act 1936? 
Class Ruling
CR 2008/7: Income tax: cancellation of shares in Telecom Corporation of New Zealand Limited
Product Ruling
PR 2008/9: Income tax: Kiri Park Project No. 2 Second Prospectus - NCL discretion
PR 2008/10: Income tax: TFS Sandalwood Project 2007 (Post 30 June 2007 Growers)
PR 2008/11: Income tax: AIL Almond Grower Project - Swan Hill: 2008 Growers (to 15 June 2008)
PR 2008/12: Income tax: 1997 Timbercorp Eucalypts Project
PR 2008/13: Income tax: tax consequences of investing in Next Financial Instalments - Series NF 330
Addendum
PR 2007/25: Income tax: Kiri Park Project No. 2 - NCL

Released 15.2.08

Interpretative Decisions
ATO ID 2008/31: Parental Company Guarantees and Division 15 of Part III of the Income Tax Assessment Act 1936
ATO ID 2008/32: Consolidation: membership - eligibility to form a consolidated group where a subsidiary member holds shares in the head company

Introduced 13.2.08

Tax Laws Amendment (2008 Measures No 1) Bill 2008  and the accompanying Explanatory Memorandum has been introduced into the House of Representatives. The Bill contains various amendments, some of which were contained in the now lapsed Tax Laws Amendment (2007 Measures No 6) Bill 2007.  The new measures introduced by the Bill remove tax deductibility for contributions and gifts to political parties, members and candidates and to extend the beneficiary tax offset to individuals in receipt of the Equine Workers Hardship Wage Supplement Payment.  Measures which have been reintroduced from the lapsed bill include amending the law to ensure that a superannuation lump sum paid to a person who has a terminal medical condition is tax-free, deductions for capital expenditure for the establishment of trees in carbon sink forests, tobacco grants and adjustments to farm management deposit schemes.

The Financial Sector Legislation Amendment (Review of Prudential Decisions) Bill 2008 and the accompanying Explanatory Memorandum has been introduced into the Senate. The Bill is aimed at  improving the process for disqualifying individuals from operating financial sector entities and to enhance the accountability of the Regulator for administrative decision-making.  The Bill will  introduce a court-based process for disqualifying an individual from operating an entity regulated by APRA.

Introduced 14.2.08

Tax Laws Amendment (Personal Income Tax Reduction) Bill 2008 and the accompanying Explanatory Memorandum  into the House of Representatives. The Bill implements the Government's election promise to introduce income tax cuts for individuals.  To view the newly legislated tax rates pleae click here.