Every year, the Tax Office issues a comprehensive statistical report based on the most complete set of data at its disposal. Its most recent Taxation Statistics is compiled from tax return information from 2009-10 as well as FBT, GST and activity statement data from the 2011-12 year.  One item of data listed in Taxation Statistics,...

The Inspector-General of Taxation’s (IGT) recently issued review of the Tax Office’s administration of its penalty regime was prompted by concerns expressed by both tax professionals and ordinary taxpayers, said the IGT Ali Noroozi. The issues of most concern related to the adequacy of Tax Office guidance material, the high level of “unsustained” penalties, the...

As long as tax has existed, citizens of the world have paid a host of weird and wonderful dues. Throughout history tax has been implemented to raise revenue, bring about social change, and strengthen the leadership of governments.  It has also made entire societies live very strangely — and in some cases, illegally — to pay...

Wrapping a car into a salary package is a very popular choice, and doing so as part of a salary sacrifice arrangement often raises the topic of novated leases. Explained simply, a novated lease is a way for an employee to buy a new or used car and have their employer assist in the organised...

Because of the way that tax is applied to superannuation, savvy employees can actually turn what would have been a tax liability into extra super by making use of a salary sacrifice arrangement. Many workers can, by agreement with their employer, have money paid into their super fund from their salary before income tax is...

The small business sector has variously been described as the engine room of the economy as well as the biggest employer in the country – and it’s not hard to see why. Research shows that small businesses were responsible for generating around half of private sector employment. The Tax Commissioner Chris Jordan says that there...

The Commonwealth Seniors Health Card can give self-funded retirees who do not qualify for a government Age Pension or Department of Veteran Affairs payment the entitlements that others receive from the Pensioner Concession Card. The concessions and discounts that may be available include Pharmaceutical Benefit Scheme discounts, cheaper out-of-hospital medical expenses, concessional rail travel and...

Now and then it may be the case that you will have legitimate reason to complain about how the Tax Office has dealt with your tax affairs, and of course you have every right to do so. But disputes about tax assessments do not always have to end up in a court or a major...

Small businesses may be eligible for various concessional treatments for transactions that involve capital gains tax (CGT), which can reduce, defer or even eliminate CGT payable (see separate story on page 4). But the Tax Office says that some common mistakes keep occurring on a regular basis in applying the tests for eligibility to the...

Establishing an SMSF is a clear sign that you know the importance of planning for the future. But one other important consideration is to make sure you also plan for “after” the future – that is, for the time beyond your own lifetime. With so much money tied up in superannuation, and more and more...