Question:
Tax complaints to be heard by the Inspector-General of Taxation
Answer:
Recent changes are outlined below:
July 1, 2022
- Loss carry back for eligible companies extended to cover 2023 income year.
- Professional firm profits diverted to the professional's spouse or other associates to be reviewed under new Tax Office guidance.
- Corporate collective investment vehicle legislative regime introduced.
- Temporary full expensing of depreciating assets extended to include 2023 income year.
- Depreciable assets of a company joining a tax consolidation group have tax costs setting rules modified for assets depreciated under temporary full expensing rules.
December 9, 2021
- Reduced Pandemic leave disaster payment of $750 per week made available through to 30 June 2022.
August 5, 2021
- COVID-19 Disaster Payments are non-assessable non-exempt income in 2021 income year and later. Payments phasing out as vaccination rates increase.
July 1, 2021
- New Investment Engagement Service launched for businesses planning significant new investments in Australia.
- Tax Office small business independent review service made permanent for businesses with turnover < $10m, for income tax, GST, exercise, luxury car tax, wine equalisation tax and fuel tax credits. Requested before amended assessment issued.
- Small business income tax offset for individuals increased to provide a reduction of 16% for a tax payable up to $1,000.
- Self-managed superannuation funds can now have six members, increased from four members previously.
July 1, 2021
- Some COVID -19 state and territory business grants received by small and medium enterprises are non-assessable, non-exempt income for 2021 and 2022 income years.
- Certain state, territory and local government financial support for individuals and businesses suffering COVID-19 impacts made exempt where businesses have turnover less than $50 million and only in eligible programs.
March 31, 2021
- JobKeeper payments scheme ended.
October 5, 2020
- Boosting apprenticeship commencements subsidy (up to 50% of apprentice's wages) is assessable income.
June 4, 2020
- Homebuilder grant for new home or substantial renovation construction is not subject to income tax.
April 1, 2020
- COVID-19 cash flow boost payments are not subject to income tax
Currently, if you want to complain about the treatment you have received from the Tax Office, you can go to the Commonwealth Ombudsman. This, in itself, has been a source of concern as there has been a perception that complainants do not get a fair hearing.
Amendments, announced in the 2014/15 Federal Budget, have now been introduced into Parliament in the Tax and Super Bill (No. 7) 2014.
These will result in the transferring of the tax investigative and complaint handling function of the Commonwealth Ombudsman to the Inspector-General of Taxation and merge that function with the Inspector General’s existing function of conducting systemic reviews.
This is an excellent move as it will enable the Inspector-General to have the sole jurisdiction to investigate both individual complaints about the administration of taxation law and systemic issues about taxation law and administration generally.
The amendments are proposed to commence on the later of 14 days after the Bill receives Royal Assent or on 1 May 2015.
WTB 2014/1964
Taxation and Superannuation Bill (No. 7) 2014
Andrew and Tony Lovett
12 February 2015
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