Taxation Law - Offshore Voluntary Disclosure Initiative (OVDI)
Date: April 27, 2010
Authors: Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary), Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
In recent months and especially with Project Wickenby there has been increasing attention in the press to the issue of tax evasion especially in relation to overseas transactions which are located in tax havens. In this respect many taxpayers may be under the belief that if there is offshore income there is little need to disclose it to the tax authorities as there is little possibility that the Tax office will be able to determine the nature of it. However with recent announcements from the Tax Office it would seem that the Tax authorities are becoming more aware of the need to determine the nature of offshore transactions and especially whether there has been any avoidance of tax by the non disclosure of offshore income which is assessable in Australia. In this respect taxpayers , and their advisers, should be aware of the penalties for non disclosure of offshore income to the Tax Office. A range of penalties and sanctions exist which can be brought to bear by the tax office which may be of a civil, administrative or criminal nature.
On this issue, it should be remembered that the current tax system is based on a system of self assessment and as a result taxpayers are required to be aware of their obligations under the ITAA. Consequently ignorance or lack of awareness by taxpayers of their obligations is not a valid excuse for non compliance. . An important outcome of the self assessment system is that there is an obligation by all taxpayers to correctly determine their assessable income ( and appropriate deductions) to enable a determination of their taxable income and a correct assessment of the tax which is due . These obligations extend right across the full range of taxes, whether e.g. Luxury Car Tax, Fringe Benefits Tax, GST, Capital Gains Tax or Income Tax.
Offshore Voluntary Disclosure Initiative
In order to encourage taxpayers to make a full disclosure of their offshore activities, the ATO has established an “Offshore Voluntary Disclosure Initiative ( OVDI) to provide taxpayers with an opportunity to make a full disclosure of their offshore income .
The offer was announced in December of 2009 and extends from 9 December 2009 to 30th of June 2010. The Commissioner said that;
''We are going to wait until June 2010 and then all bets are off and the law will apply … we think we've given people enough notice of the opportunity to come in and get their affairs cleaned up,'' Tax commissioner Michael D'Ascenzo said yesterday”.
''We're trying to explain to people that the world is starting to open up in terms of transparency … there are fewer places to hide now.''
The main features of the OVDI are;
- Where a taxpayer makes a voluntary disclosure of offshore income and the additional taxable income is $ 20000 or less in any tax year there will be no tax shortfall penalty
- Where the additional taxable income exceeds $ 20 000 in any tax year the shortfall penalty will be remitted to $10% of the additional tax for the year.
- The general interest charge will be reduced to nil for the tax years prior to 2003.For 2003 and 2004 the general interest charge will be reduced to the base rate. For 2005 onwards the shortfall interest charge will apply
- Where disclosure is made the tax office will indicate to the taxpayer whether there is any breach of criminal law.
From the above it seems there are some positive benefits arising from a taxpayer undertaking appropriate disclosure under the OVDI initiative. However it is important to note that the OVDI should not be taken or seen as a tax amnesty The OVDI is nothing more than an “offer” for taxpayers to come forward and voluntarily disclose any omitted offshore income and or capital gains or over-claimed deductions.
Usually the purpose of a Tax Amnesty would be :;
- To raise Tax Awareness;
- To raise Tax Compliance, especially those taxpayers who are non tax compliant;
- To Increase Tax Revenue; and
- To eliminate any penalties, without being criminally prosecuted.
As part of the OVDI initiative the ATO has also sent letters to a number of taxpayers offering them the opportunity to make a voluntary disclosure (and where appropriate, receive a reduction in penalty). This has also been sent to to 17,000 small businesses which the ATO it had identified as working in high-risk industries.
It would seem that with this initiative the ATO will do everything possible to assist those people who are trying to do the right thing but it will bring a firm hand to bear if they identify taxpayers who are trying to avoid their obligations. However notwithstanding the fact that the Commissioner is encouraging voluntary compliance under the OVDI initiative , the ATO has not issued any detailed guidelines ,or any ATO practice statement, as to how he is going to deal with taxpayers who make a voluntary disclosure to the ATO prior to 30th of June 2010.
It should be noted that taxpayers seeking to make a disclosure pursuant to the OVDI may still be liable for a criminal prosecution.Take for example, a taxpayer who makes a voluntary disclosure about his/her offshore income before 30th June 2010 and pays the tax with penalties and interest. In this respect while the taxpayer may have complied with his/her tax obligations it then does not prevent the Commissioner from referring the matter to the Commonwealth Director of Public Prosecutions. This despite the fact that the taxpayer is tax compliant. Consequently taxpayers may be wary of making a disclosure under the OVDI unless they seek independent legal advice from a tax lawyer if they fear any criminal sanctions will follow the making of a voluntary disclosure to the ATO.
For proper informed professional tax advice call LAC Lawyers now on 1300 799 888.
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Setting up a discretionary trust
Date: July 04, 2009
Author(s): Adrian Culas LL.B. (Hons.), CLP.
A trust is a relationship where a person (The Trustee) is under an obligation to hold property or assets for a benefit of a group of persons called the Beneficiaries. The relationship and terms of the Trust are contained in the Trust Deed executed by the Trustee and the Settlor.
Tax Evasion - Offshore Activities
Date: May 04, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
All member countries of the OECD’s forum on tax administration including Australia are working together to identify taxpayers’ bank accounts linked to Lichtenstein to counter the effects of tax evasion.
Tax Law - Vanuatu and the use of overseas tax havens
Date: May 08, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
For many years now a number of Australian taxpayers have been using overseas tax havens to shield their wealth from the Australian Taxation Office. Although there is nothing new in this it has come to greater prominence with the advent of Project Wickenby.
Taxation Law - An International Perspective; Examples of Abusive Tax Scheme Investigations in the USA - Fiscal Year 2009 - Part 1
Date: November 23, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
Taxation Law - An International Perspective; Examples of Abusive Tax Scheme Investigations in the USA - Fiscal Year 2009 - Part 2
Date: November 23, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
Taxation Law - An International Perspective; Examples of Abusive Tax Scheme Investigations in the USA - Fiscal Year 2009 - Part 3
Date: November 23, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
Taxation Law - Appeals to the Federal Court
Date: May 25, 2006
Author(s): LAC Lawyers
Appeals to the Federal Court require a written application which sets out brief details of the objection decision and must be filed with the relevant Federal Court Registry.
Taxation Law - Arrangements to Avoid Australian Tax - Could This Be You?
Date: November 18, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Whenever a taxpayer is involved in aggressive tax planning they need to ensure that they stay on the right side of the law. Essentially there is a great difference between tax avoidance and tax evasion. The first is lawful and the latter is unlawful with the consequence that can lead to criminal prosecution and a custodial sentence.
Taxation Law - ATO and ASIC Crackdown On Phoenix Activity
Date: August 02, 2010
Author(s): Michael Pickering B.A., LL.B. (Hons.), LL.M., M. A.
On 1 July 2010, amendments to tax and corporations laws gave the ATO new powers against fraudulent Phoenix activity.
Taxation Law - Business Records and Substantiation
Date: July 27, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Generally taxes are all about income, deductions and substantiation. One of the areas where taxpayers are substantially at risk is record keeping and substantiation for claims made for deductions.
Taxation Law - CGT and Trust Cloning
Date: June 10, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary), Adrian Culas LL.B. (Hons.), CLP.
A Discretionary trust is one of the most sought after trust structures in view of the enormous benefit that follows from the establishment of such a trust. The Discretionary Trust structure creates a framework for family assets to be passed from one generation to another without losing control over key assets, allows for the protection of assets from creditors, creates an effective tax structure and in particular allows access to Capital Gains Tax (CGT) concessions.
Taxation Law - CGT and Trust Cloning Exception
Date: June 15, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary), Adrian Culas LL.B. (Hons.), CLP.
In 1990, Section 160M(1a) ITAA 97 was enacted to ensure that mere change of legal ownership in an asset does not constitute a change of ownership of the asset for the purpose of Part IIIA of the ITAA 97. Consequently neither the transfer of an asset nor the change of the Trustee of a trust would be deemed to be a disposal under Part IIIA ITAA and therefore not subject to the payment of CGT.
Taxation Law - Changes to Private Rulings
Date: May 23, 2006
Author(s): LAC Lawyers
Taxation Law - Consequences of Directors Penalty Notices
Date: April 16, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Where there has been a failure to abide by Section 222AOE by the end of the 14 day period the ATO is at liberty to recover the amount of outstanding tax from each and every director on a joint and several basis.
Taxation Law - Directors' Liability for Tax
Date: April 08, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Over recent years the Tax Office is exercising less forbearance with respect to the recovery of outstanding tax irrespective of the category involved. Normally tax is not paid by a taxpayer where the entity involved is under financial pressure which affects its overall profitability.
Taxation Law - Energy Grants and Fuel Tax Credits
Date: July 02, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation Law - Enforcement
Date: January 14, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
A lot has been said over recent years about the ATO’s commitment to various initiatives it has put in place. It should be remembered that for high profile risks the ATO established in July 2003 the Serious Non-Compliance (SNC) Business Line which deals with people who set out to deliberately evade their taxation obligations and/or fraudulently abuse the system to obtain an improper benefit.
Taxation Law - Extensions of the Time for Lodging Applications for Review of the Taxation decisions at the Administrative Appeals Tribunal
Date: September 14, 2006
Author(s): LAC Lawyers
Section 29 (2) of the Administrative Appeals Tribunal Act 1975 (Cth.) states that the general rule is that an application for review of a decision made by the Deputy Commissioner of Taxation must be made to the Administrative Appeals Tribunal ("AAT") within 60 days after the day upon which the person is notified of the reviewable decision.
Taxation Law - Failing to Furnish Income Tax Returns - Part 1
Date: November 01, 2007
Author(s): LAC Lawyers
The failure to submit Income Tax Returns as and when required by the commissioner of taxation is an offence under section 8C(1)(a) of the Taxation Administration Act 1953.
Taxation Law - Failing to Furnish Income Tax Returns - Part 2
Date: November 01, 2007
Author(s): LAC Lawyers
Whilst it is conceded and supported that Income Tax Offences are serious matters and are far from trivial, there may be objective facts and mitigating circumstances which would warrant the non-recording of a conviction as provided for in section 19B.
Taxation Law - Get the Right Advice
Date: July 27, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Frank Egan is the Managing Director of LAC Lawyers and has over 29 years experience as a lawyer. He specialises in the field of taxation and is one of Australia’s few full time taxation lawyers. He advises and represents clients on both state and federal taxation matters including arrangements with international taxation consequences.
Taxation Law - Global Transparency: High Net Wealth Individuals, Tax Information Exchange Agreements and Multinationals: Country by Country Reporting - Part 1
Date: January 18, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
Recent attention by the media and statements by the Australian Tax Office (“ATO”) concerning Project Wickenby has raised questions of the scope of tax avoidance by taxpayers who use offshore tax havens
Taxation Law - Global Transparency: High Net Wealth Individuals, Tax Information Exchange Agreements and Multinationals: Country by Country Reporting - Part 2
Date: January 18, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
An attempt to overcome some of the limitations associated with s 264A notices is by the establishment of Tax Information Exchange agreements (TIEA) with countries, which have some history and exposure to tax haven transactions.
Taxation Law - Global Transparency: High Net Wealth Individuals, Tax Information Exchange Agreements and Multinationals: Country by Country Reporting - Part 3
Date: January 18, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
According to a briefing paper from the Tax Justice Network and to the UK Tax Minister country by country reporting means that Multinational Companies (“MNC”) report in its accounts without exception
Taxation Law - Global Transparency: High Net Wealth Individuals, Tax Information Exchange Agreements and Multinationals: Country by Country Reporting - Part 4
Date: January 18, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
According to the OECD report, high net wealth individuals present tax authorities with challenges with respect to the following
Taxation Law - Goods and Services Tax
Date: May 01, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
As everyone understands there are a number of Commonwealth Government taxes. The major ones are CGT, FBT, ICT, GST, LCT and PAYG (earn/withholding). At this stage this paper will only deal with GST legislation. The main piece of GST legislation is a new tax system (Goods and Services Tax Act 1999) which came into operation on 1 July 2000 and is payable only on supplies and importations made on or after that date.
Taxation Law - Have You Received A Letter From The Australian Tax Office
Date: February 18, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
The Australian Taxation office (Tax Office) is increasing its focus on Australian residents who may have undisclosed offshore income or over claimed deductions involving international transactions.
Taxation Law - Hoges v The Taxman - Taxation Considerations
Date: August 05, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation Law - How to Approach The ATO When Making A Voluntary Disclosure Or Responding To An Audit
Date: August 04, 2008
Author(s): Alexandra Egan B.Ec, LL.B.
Whether you are responding to an audit or making a Voluntary Disclosure to the Australian Taxation Office about your Taxation Affairs it is of extreme importance to bear in mind that the only approach to be taken is one that involves contrition and reparation, that is a capacity to pay back any outstanding primary tax, penalties and interest.
Taxation Law - Investment Schemes and Tax Avoidance
Date: August 19, 2010
Author(s): Ishita Sethi LL.B., B.Com.
An investment scheme is often aimed at postponing the tax liability on the relevant underlying asset/s. Ultimately however, it most circumstances, some tax will be payable. Such schemes generally operate based on two fundamental premises, investing to reduce tax exposure or borrowing money to reduce tax exposure.
Taxation Law - Liquidation of Entities - Tax Consequences
Date: June 10, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
For a number of years now both ASIC and the ATO have been clamping down on arrangements which lead to the liquidation of entities, particularly companies which continue to avoid their liabilities including the payment of tax.
Taxation Law - Major ATO Targets For 2007/2008 Tax Year
Date: September 04, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
The Commissioner of Taxation has recently released his 2007/08 Compliance Programme. As with every compliance programme the emphasis shifts and this year the ATO's goals are about "being fair and professional; applying the rule of law; supporting taxpayers who want to do the right thing; and being consulted, collaborative and willing to co-design."
Taxation Law - Money Laundering
Date: August 14, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Money laundering was intended to catch large scale drug dealers, operators of crime syndicates and persons associated with these enterprises. Conveniently for the authorities it also has relevance to the area of tax crime including identity theft. Fraud or tax evasion has never had the reach the authorities want. Under the Crimes Act 1914 fraud was punishable for up to 20 years but under the Commonwealth Criminal Code 1995 it was dropped to 10 years as in the case of deception offences.
Taxation Law - Negotiation
Date: May 22, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Negotiation is an art not a science. Often clients forget this and do not really understand the process. Butterworths Australian Legal Dictionary defines negotiation as "generally, mutual discussion and arrangements of the terms of a transaction or agreement."
Taxation Law - Offshore Funds and Structures
Date: February 20, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Often bogus/fabricated documents are relied upon by taxpayers to defend overseas interests/structures and locally claimed deductions. Why would anyone in their right mind enter into a multi million dollar contract for overseas IT consultancy, for example, in the Cook Islands, a tax haven, given that they are not known as a supplier of IT consultancy services like India.
Taxation Law - Offshore Non-Complying Arrangements
Date: February 12, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation Law - Offshore Voluntary Disclosure Initiative (OVDI) - A Question of Choice
Date: May 04, 2010
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary), Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
There is now a choice offered to taxpayers who make a voluntary disclosure prior to the 30th of June 2010. The Commissioner states in his Offshore Voluntary Disclosure Initiative...
Taxation Law - Offshore Voluntary Disclosure Initiative (OVDI) - The Current Status of the ATO Concerning Tax Evasion and Tax Avoidance
Date: May 04, 2010
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary), Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
From a government perspective, there is some concern that proceeds of crime have become associated with fraud, tax evasion and other criminal activity. For example, in 2005-06, the ATO’s Serious Non-Compliance Department achieved the following...
Taxation Law - Overseas Dealings
Date: March 13, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Often clients want to use their accountant to lend legitimacy to their taxation affairs and to deny any knowledge of overseas dealings, interests or assets as they say their adviser filled out their return and answered questions about overseas interests, assets and holdings as "No". From that point on they have lost credibility.
Taxation Law - Phoenix Activity - Further Changes in the Pipeline
Date: August 02, 2010
Author(s): Michael Pickering B.A., LL.B. (Hons.), LL.M., M. A.
The Rudd/Gillard Federal Governments are also considering giving to the ATO and to ASIC a number of additional powers against directors involved in fraudulent Phoenix activity including the following powers
Taxation Law - Private Rulings
Date: May 22, 2006
Author(s): LAC Lawyers
This article sets out the procedures to be followed by taxpayers who wish to challenge Private Rulings for taxation assessments made by the Commissioner of Taxation.
Taxation Law - Promoters
Date: March 13, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Although promoters are the Tax Office's principal targets they are after any taxpayer who has used offshore bank accounts, credit and debit cards, offshore financial products and/or structures to conceal income or assets from them.
Taxation Law - Some Aspects of Voluntary Disclosure Not Readily Understood
Date: June 29, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
There are any number of letters doing the rounds of taxpayers reminding them of their taxation obligations. One area on which the Tax Office is focusing on is the cash economy and they are focusing on identifying businesses who fail to accurately record and report all their business transactions.
Taxation Law - Some Criminal Consequences of Tax Evasion
Date: September 09, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Although the majority of taxpayers abide by their obligations there are a number who don't. A range of penalties and sanctions which can be brought to bear including civil, administrative and criminal. Many people think if you don't pay your tax and ignore the problem it will go away, which couldn't be further from the truth.
Taxation Law - Some Traps and Pitfalls with Taxation Interviews
Date: October 23, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation Law - Taking Action (AAT & STCT)
Date: May 25, 2006
Author(s): LAC Lawyers
Taxation Law - Tax Audits, Notices of Assessment and Tax Disputes
Date: August 30, 2010
Author(s): Ishita Sethi LL.B., B.Com.
The Australian Taxation Office is empowered to conduct an investigation into the taxation affairs of any Australian taxpayer and in certain circumstances, at any time the Commissioner of Taxation sees fit.
Taxation Law - Tax Evasion - How Do The Criminal Courts Treat Tax Evaders
Date: October 11, 2006
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
The most serious case in this area was handed down by the New South Wales Court of Criminal Appeal in R. v Ida Ronen, Nitzen Roden and Izhar Ronen on the 19th April 2006. The message which the courts delivered in this case is that they will treat all cases of serial tax evasion as extremely serious leading to long periods of imprisonment irrespective of the taxpayer’s individual circumstances even where taxpayers have paid their penalty tax in full.
Taxation Law - Tax Fraud
Date: March 14, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Butterworths Australian Legal Dictionary defines fraud as "an intentional dishonest act or omission done with the intention of deceiving". Obtaining a benefit by deception is to obtain an advantage or a profit or a gain by deceit.
Taxation Law - Tax Havens
Date: March 13, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Tax havens enable tax evaders to conceal their assets and income offshore from scrutiny. They are readily identifiable from their lack of transparency and effective information exchange. Secrecy means that tax administrations operate on the basis that the taxpayer proves the bona fides of any arrangement/ scheme.
Taxation Law - Tax Havens & Criminality
Date: June 23, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Although every revenue authority around the world is trying to corral, limit and in some cases neuter the influence of tax havens they will continue to prosper. High net worth individuals are not averse to taking risks and often assess their situation with respect to the ability of the authorities to detect them including any offshore activities.
Taxation Law - Tax Havens and Information Sharing Agreements - Project Wickenby
Date: August 18, 2010
Author(s): Ishita Sethi LL.B., B.Com.
It is commonly known that there are many legal and legitimate transactions that Australian residents participate in which are located in offshore tax havens. Such transactions and arrangements are designed to take advantage of the tax benefits available in the relevant offshore jurisdictions.
Taxation Law - Tax Havens and Non-Compliance
Date: February 11, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Over recent years the Tax office has tightened up considerably on overseas arrangements and schemes which have been used to either secrete assets or hide income. Normally the success of these arrangements relies upon concealment using any of a number of structures to prevent detection including the use of tax havens.
Taxation Law - Taxation Disputes
Date: December 03, 2008
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Over recent years there has been an alarming increase in taxation disputes involving all types of tax non-compliance. Where tax non-compliance is involved it can be managed as follows:
Taxation Law - Taxation Disputes - Concealment
Date: March 08, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
may feel confronted and try to characterise or manufacture a situation which will support circumstances which will disguise their tax non-compliance were this not done. They conspire to contrive a situation where their affairs including their financial accounts will pass muster on cursory examination.
Taxation Law - Taxation Disputes - Default Assessments
Date: January 20, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation disputes can arise for many reasons. Often they occur where no return has been furnished or the Commissioner is not satisfied with the return furnished or has reason to believe the person who has not furnished the return has derived taxable income. In these circumstances he is entitled to make an assessment under section 167 of the amount on which, in his judgement income tax has to be paid for the purposes of section 166 of the Act.
Taxation Law - Taxation Disputes - Resolution
Date: March 09, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation disputes arise for either legitimate or illegitimate reasons.
Taxation Law - Taxation of Overseas Based Employees Within Australia
Date: May 17, 2010
Author(s): Michael Pickering B.A., LL.B. (Hons.), LL.M., M. A.
From 1st July 2009, the foreign employment income of most Australians working overseas is no longer exempt from Australian income tax.
Taxation Law - Taxation Settlements
Date: September 11, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Taxation law and practice is a highly complex area of the law. For any number of reasons individual or corporate taxpayers may find themselves in dispute with the ATO. In order to provide some certainty as to how a taxation dispute may be dealt with the ATO follows a Code of Settlement Practice.
Taxation Law - The Australian Taxation Office and Directors Penalty Notice
Date: August 24, 2010
Author(s): Ishita Sethi LL.B., B.Com.
It is often the case that when trying to capture a good business opportunity, directors get caught up personally. This can happen not only on an emotive level through their desire to see the business succeed, but also by way of the provision of a personal guarantee which is often necessary to ‘close the deal’ such as for example when seeking to obtain finance or re-finance for the business or commercial leases of premises.
Taxation Law - The Background to Taxation Information Exchange.
Date: August 05, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
With the increased fiscal leakage caused by tax evasion the OECD and countries in the European Union have raised concerns as to how the issue should be addressed.
Taxation Law - The Brussels Agreement - The Direct Involvement of the CIA in Banking and Revenue Matters
Date: August 05, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
The Brussels agreement which was formalised in late 2009 is an important development to overcome the issue of banking secrecy in the European Union. It is an agreement between EU countries and the USA which provides the CIA with powers to access bank accounts held by individuals in the European Union.
Taxation Law - The Future - The Loss of Privacy and Confidentiality
Date: August 05, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
Taxation Law - The Gathering Pace and Scope of Taxation Information Exchange
Date: August 05, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
The importance of effective tax information exchange and effective transparency between countries is vital to a country’s well being and integrity of its tax system with inter country transactions.
Taxation Law - The Glen Wheatley Case - The Value Of Coming Forward - Was It An Unprompted Voluntary Disclosure?
Date: July 31, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
For some time now the papers have been full of the Glen Wheatley case, and the following types of comments have been made by a number of commentators.
Taxation Law - The old adage “you get what you pay for” is as true today as it has ever been.
Date: September 11, 2006
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Currently the taxation landscape in Australia is in a state of great flux. Although legislation is constantly being updated a comprehensive review of this whole area has not been carried out. The whole area is unnecessarily complex and both the Australian Taxation Office and the courts have been left to do the best they can to provide meaningful interpretations of the law in this area.
Taxation Law - The Purpose of Tax Information Exchange Agreements (TIEA's) and the Current Status of Proposals for Australia on TIEA's - Part 1
Date: December 11, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
In any attempt to reduce the impact of tax havens and discover any questionable cross border transactions, the role of TIEA’S is important. The exchange of information between jurisdictions serves three purposes for tax administrators
Taxation Law - The Purpose of Tax Information Exchange Agreements (TIEA's) and the Current Status of Proposals for Australia on TIEA's - Part 2
Date: December 11, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
From a practical point of view, there is some concern that proceeds of crime have become associated with fraud, tax evasion and other criminal activity .As a result Commonwealth legislation has been introduced to address this issue whereby proceeds arising from criminal offences against Commonwealth laws may be forfeited.
Taxation Law - The Purpose of Tax Information Exchange Agreements (TIEA's) and the Current Status of Proposals for Australia on TIEA's - Part 3
Date: December 11, 2009
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
While there has been considerable attention given to the issue of tax evasion there are a number of important issues that taxpayers and their advisers should consider given the formalisation of TIEA’s by Australian authorities with overseas countries and in particular some recognised tax havens
Taxation Law - Voluntary Disclosure
Date: August 15, 2007
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Currently the Glen Wheatley case is colouring everyone's perception of the Australian tax landscape. Obviously the decision is not understood by the press which has influenced many taxpayers' perceptions on the desirability of making a voluntary disclosure.
Taxation Law - Voluntary Disclosure (OVDI) - Named or Un-Named (1)
Date: August 06, 2010
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Over the last few months but more recently we have been preparing a lot of OVDI applications for submission to the ATO. What strikes us as odd is that quite a number of taxpayers have consulted professionals other than tax lawyers.
Taxation Law - Voluntary Disclosure (OVDI) - Named or Un-Named (2)
Date: August 06, 2010
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
When the overseas voluntary disclosure or initiative was originally announced and the forms which were available on the ATO website were produced they asked for more comprehensive material than those produced in April and following.
Taxation Law - Wickenby Legal Professional Privilege
Date: January 22, 2009
Author(s): Frank Egan B.A., LL.B., A.C.L.A., F.T.I.A. (Notary)
Ever since 2004 we have consistently heard of Project and Operation Wickenby. The first is headed up by the ATO and the second by the Australian Crime Commission (ACC). The first is looking at the civil consequences of tax avoidance or tax evasion or tax fraud or money laundering and the second from a criminal law perspective. Project Wickenby comprises a multi-agency taskforce focused on the activities of Strachans SA of Geneva, a company providing specialist company and trust administration services together with international tax and financial consultancy.
The Benefits of Hiring A Lawyer
Date: August 16, 2006
Author(s): LAC Lawyers
The old adage “you get what you pay for” is as true today as it has ever been.
The Mechanisms of Tax Information Exchange Between Different Jurisdictions
Date: August 04, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
A Tax Information Exchange Agreement is a formal agreement between countries that formalizes the ability of relevant government agencies to exchange information between them concerning the tax affairs of individual taxpayers or other entities.
The Purpose of Tax Information Exchange Agreements and Factors that Determine the Issues of Confidentiality
Date: August 04, 2010
Author(s): Tony Anamourlis B.A., LL.B., MTaxLaw, GradDipLegPrac, SJD Candidate (La Trobe); ATIA
What to expect when you call LAC Lawyers
Date: December 13, 2006
Author(s): LAC Lawyers
LAC Lawyers is a full service firm dedicated to the provision of superior legal services in Australia. Our aim is to provide unrivalled client satisfaction coupled with high quality service and advice. When you call LAC Lawyers our friendly reception staff will spend time with you to identify the area of law your enquiry relates to then pass you on to one of our qualified solicitor's who can help you.
Why stay with your lawyer
Date: August 01, 2006
Author(s): LAC Lawyers
The lawyer/client relationship is a personal one and there are many reasons which will dictate who you can and cannot work with. If you don’t like your lawyer, should you change? Ultimately, the relationship between a lawyer and client must be built on mutual trust.