Legal Updates

Talking Tax – Issue 164

Debt deductions under the thin capitalisation rules

On 17 July 2019, the Commissioner of Taxation (Commissioner) released Taxation Determination (TD) 2019/12, which clarifies what types of costs are considered to be debt deductions within the scope of Australia’s thin capitalisation regime.

Read more

Read full article

Mortgage set aside by the Supreme Court of Victoria for unconscionable conduct

In brief

A mortgage-backed loan by a non-bank lender was recently set aside by the Supreme Court of Victoria.

Read more

Read full article

$7.83 million in back pay required by FWO

Significant reputational damage is not the only issue companies should be aware of in cases of erroneously underpaying staff, as discovered by MAdE Establishment (MADE) after entering into a Court-Enforceable Undertaking (EU) with the Fair Work Ombudsman (FWO) last week.[1]

Read more

Read full article

Beware the (fair market) value trap

Vague, incomplete and ambiguous valuation clauses in shareholders agreements are traps for the unwary and create unintended consequences.

Read more

Read full article

New Jersey Supreme Court Grants Review for Reasonable Accommodations of Medical Marijuana

Our colleagues Maxine NeuhauserNathaniel M. GlasserDenise Dadika, & Anastasia A. Regne

Read more

Read full article

Proposed Amendment to California Consumer Privacy Act (CCPA) Reaffirms Employer Notice Requirement and Employee Private Right of Action for Failure to Implement Cybersecurity Safeguards to Take Effect January 1, 2020

The recently proposed amendment to the California Consumer Privacy Act (CCPA) should be a wake up call to those employers who are not already actively planning for the January 1, 2020 compliance deadline.

Read more

Read full article

Foreign Portfolio Investors’ Regulations– Proposed Changes

As the fastest growing major economy in the world, India is an important participant in global investment flows. Overseas funds flow in India both through the Foreign Portfolio Investors (“FPIs”) and the Foreign Direct Investment (“FDI”) routes with substantial inflows into capital markets. In order to rationalize the investment routes and monitoring of FPIs, the SEBI (Foreign Portfolio Investors) Regulations, 2014 (“FPI Regulations”) were notified on January 07, 2014. Over the years, several clarifications, circulars and guidelines have been issued to the FPI Regulations and a need was felt to undertake an extensive review of the FPI regime to consolidate and rationalize the FPI framework.

SEBI therefore constituted a working group under the chairmanship of Shri. Harun R. Khan (Retd. Deputy Governor of Reserve Bank of India) (“Working Committee”), to review the FPI Regulations and operational guidelines and circulars issued thereunder to simplify the language and complexities in the FPI Regulations. The Working Committee submitted its report titled ‘Report of the working group on the SEBI (Foreign Portfolio Investors) Regulations, 2014’ (“Report”) and has, inter-alia, proposed the following key recommendations:

Read full article

Financial Services in Focus – Issue 27

 

 

 

 

 

Funds and financial products
ASIC consults on relief for foreign providers of funds management services to Australian professional investors

On 3 July, ASIC released Consultation Paper 315 Foreign financial services providers: Further consultation (CP 315), and related material, in which ASIC is proposing to provide licensing relief for foreign financial services providers of funds management services in Australia to professional investors.

Read more

Read full article

Hawaii Decriminalizes Possession of Small Amounts of Marijuana

 

 

 

 

On July 9, 2019, Hawaii became the 26th state to decriminalize possession of small amounts of marijuana. HB 1383 (the “Law”), which became law when Governor David Ige allowed the veto deadline to pass without signing or striking down the bill, decriminalizes the possession of up to three grams of marijuana. It will go into effect on January 11, 2020.

Read more

Read full article

Talking Tax – Issue 163

 

 

 

 

 

Income protection and superannuation insurance payments: assessable or not?

In YCNM and Federal Commissioner of Taxation [2019] AATA 1592, the Administrative Appeals Tribunal (AAT), found that a lump sum payment made under an income protection insurance policy was partly assessable as income under section 6-5 of the Income Tax Assessment Act 1997 (Cth) (Act). The AAT concluded that the portion of the lump sum attributable to a superannuation contribution insurance policy was not assessable as income.

Read more

Read full article