Tag Archives: OECD

ILN Today Post

Potential Direct Tax Implications for Digital Economy

Multinational companies such as Google, Facebook, Airbnb etc., engaged in providing digital services in different countries, without any physical presence, are likely to be adversely impacted by the changing international tax regime. The tax challenges arising from digitalisation of the economy were identified as one of the main areas of focus of the Base Erosion and Profit Sharing (BEPS) Action Plan, leading to the 2015 BEPS Action 1 Report on ‘Addressing the Tax Challenges of the Digital Economy’. Thereafter, the focus of the countries has been to draw up a conclusive plan for the governments’ right to tax multinationals, through the Organisation for Economic Cooperation and Development (OECD), which is currently working on releasing a methodology for such taxation, by 2020.

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ILN Today Post

Talking Tax – Issue 144

Phoenixing labour hire operator sentenced to jail in WA
In brief

A labour hire business operator who fraudulently obtained more than $890,000 through illegal phoenix activity (involving business debts, GST and PAYG obligations) has been jailed for five years and four months and ordered to repay the money.

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ILN Today Post

Talking Tax – Issue 88

ATO updates

Greater reporting obligations for groups with turnover above $250 million

The ATO has announced that it will be extending the obligation to lodge the reportable tax position (RTP) schedule to companies in economic groups with a turnover greater than $250million.

The RTP schedule is a schedule to the company income tax return that requires large businesses to disclose their most contestable and material tax positions. The obligation to lodge the schedule only arises once the ATO has notified the company they are required to lodge an RTP schedule.

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ILN Today Post

Talking Tax – Issue 87

Case law

Is it ‘dominant use’? A lesson for taxpayer seeking to claim primary production land tax exemption

In Redmadi Pty Ltd v Chief Commissioner of State Revenue [2017] NSWCATAD 231, the Civil and Administrative Tribunal (Tribunal) dismissed the application and affirmed the Chief Commissioner for State Revenue’s (Commissioner) decision to deny a primary production land tax exemption to a taxpayer on the basis that it was not satisfied that land was used for the dominant purpose of primary production within the meaning of section 10 AA of the Land Tax Management Act 1956 (Act).

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ILN Today Post

Talking Tax – Issue 86

Case law

AAT rejects Taxpayer’s claim for input tax credits

In GH1 Pty Ltd (in Liquidation) v FCT [2017] AATA 1063, the Administrative Appeals Tribunal affirmed the Commissioner of Taxation’s decision to disallow input tax credits (ITCs) totalling $817,207 for bulk earthwork services provided in relation to a development project.

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