ATO Documents

Class Rulings

CR 2021/78 Templeton Global Growth Fund Ltd. - off-market share buy-back and scrip for scrip roll-over

CR 2021/77 Horizon Oil Limited - return of capital

CR 2021/76 Viva Energy Group Limited - return of capital and share consolidation

CR 2021/75 Australian Unity Limited - Mutual Capital Instruments (2021 Issue)

CR 2021/74 Woolworths Group Limited - demerger of Endeavour Group Limited - employee share scheme

Product Rulings

PR 2021/14 Tax consequences for a Participant in an Urbau joint venture project

PR 2021/13 Tax consequences for a borrower being charged a discounted home loan interest rate calculated under Loan Reducer

Tax Cases

Clough Limited v Commissioner of Taxation [2021] FCAFC 197

The Full Federal Court has upheld the first instance decision that payments to employees to satisfy their rights under a share option scheme and employee incentive scheme, as part of the company takeover, were not deductible under s.8-1 of the Income Tax Assessment Act 1997 and were instead deductible over five years under s.40-880 of the Income Tax Assessment Act 1997. For further details on the case, refer to our Tax Insight here.

Other news

ATO announces country-by-country (CbC) lodgement deferral

On 18 November, the ATO announced that significant global entities with a December balance date will now have until 4 February 2022 to lodge their country-by-country (CbC) reporting statements.

Progress of Legislation

Parliament resumed on 22 November 2021.

Bill

Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Bill 2021
Description Amends the Income Tax (Transitional Provisions) Act 1997 to extend the temporary full expensing of depreciating assets by 12 months to 30 June 2023.
Status Introduced in the House on Reps on 27.10.21
Bill
Treasury Laws Amendment (2021 Measures No 7) Bill 2021
Description Amends the ATO reporting regime for electronic distribution platform operators and removes the $250 threshold for self-education expenses in s.82A of Income Tax Assessment Act 1936 from 2022-23.
Status  Introduced in the Senate on 19.10.21 
Bill Treasury Laws Amendment (2021 Measures No 6) Bill 2021
Description Amends the Income Tax Assessment Act 1997 to make refunds of large-scale generation shortfall charges non-assessable non-exempt income and remove the requirement for certain super fund trustees to provide an actuarial certificate in certain circumstances.
Status  Received Royal Assent on 13.09.21 
Bill
Treasury Laws Amendment (2021 Measures No. 2) Bill 2021
Description Amends Australia's Offshore Banking Unit (OBU) regime to remove OBU's concessional tax treatment, remove the interest withholding tax exemption and close the regime to new entrants. The Bill also amends Income Tax Assessment Act 1997 to require a fund, authority or institution to, as a precondition for DGR endorsement, be a registered charity, an Australian government agency or operated by a registered charity or an Australian government agency.
Status  Received Royal Assent on 13.09.21
Bill 
Treasury Laws Amendment (2021 Measures No. 5) Bill 2021
Description Amends Division 376 of the ITAA 97 to provide certain tax offsets to the Australian screen industry, including the producer offset, location offset and PDV (post, digital and visual effects) offset. Various miscellaneous amendments to the ITAA97 and the GST Act.
Status  Introduced in the Senate on 11.08.21 
Bill
Treasury Laws Amendment (COVID-19 Economic Response No. 2) Bill 2021
Description Amends the Income Tax Assessment Act 1997 and Taxation Administration Act 1953 to treat COVID-19 disaster payments for individuals, and certain COVID-19 business support programs, as non-assessable non-exempt income.
Status  Received Royal Assent on 10.08.21