FasterTax with Ray Cummings of Greenoak Advisory

ATO announcements

Legislation

Rulings

Cases

Short and Sharp -What you need to know - fast

Visit: fastertax.com.au for our one page summary.

Most advisors can reel off the company loss tests as an ownership test and a same/similar business test. However, the depth of knowledge in these areas can be fairly limited particularly re:1.The operation of the continuity of ownership test2.Misunderstanding how the same/similar business tests operate and3.Not understanding the relevant test periods for these rules

Some of the key practical points are:1. Failing to distinguish between UPEs to corporate beneficiaries arising before 16 December 2009 and those arising on or after that date2. Potentially being too conservative and not distributing to corporate beneficiaries3. Forgetting or not realising that any loan by the trust where the UPE to the corporate beneficiary is outstanding, regardless of when it was created, can have deemed dividend consequences.

April 2020

Latest tax developments:

ATO pronouncements

ATO Rulings and other guidance

Legislation

Cases

Short and sharp - what you need to know - fast.

Visit: fastertax.com.au for our one page summary.

1.Can a loan write-off constitute taxable income?2.What happens if I clean up intra group loan balances?3.No interest,no problem? 

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Visit: https://tax.thomsonreuters.com.au/checkpoint/e-learning

1. What do I have to do?

2. How much will I get?

1. Is my business eligible to receive the payment?(a) Has or will the business likely experience the required turnover decline? (b) Has a person who is an “eligible business participant” ?

2. How do I get it?

3. How much do I get?

4. When do I get it?

Ask the right questions:

1. Is my business eligible to receive the payment?

    a) Has or will my business experience the requisite turnover decline?

    b) Do I have eligible employees?

2. How do I get it?

3. How much do I get?

4. When do I get it?

5. How much do I have to pay to my employees?

1. Do you have a business asset or assets?2. Is the transfer due to a genuine business restructure?3. Has the underlying economic ownership of the asset or assets remained the same both before and after the transfer?

1. Fixed or non fixed trust?

2. What is the income injection test?

3. Should I make a family trust election?