Client Alert for August 2012

ATO data-matching programs

Living-away-from-home tax law changes on the way

TIP: As a result of these developments, it will be critical for employers and employees to identify, before the enactment of the legislation, if and how the changes might apply

Trust beneficiaries: amended assessments were excessive

TIP: Some commentators have noted that this case highlights the need for trustees to consider documenting distribution minutes by 30 June. The issues in the case are complex. If you have any questions, please contact our office.

SMSF notice of non-compliance set aside

Excess super contributions: Commissioner's discretion refused

TIP: The above cases mainly involve contributions for the 2008/2009 financial year (and earlier). The Government has recently amended the law to allow a limited, once-only refund option for excess concessional contributions of up to $10,000.
The new refund option is only available for excess concessional contributions in respect of the 2011/2012 or later years, and only for the first year. The refund option provides some relief, but is not without conditions and limitations.

TIP: The Commissioner may only exercise his discretion to reallocate or disregard excess contributions if "special circumstances" exist and the making of a determination is consistent with the objective of the superannuation regime that individuals gradually build their super over their lifetimes.

Division 7A benchmark interest rate

Reasonable travel and meal allowance amounts

• overtime meal allowance expenses;
• domestic travel allowance expenses;
• travel allowance expenses for employee truck drivers; and
• overseas travel allowance expenses.
  
  

Car depreciation limit and luxury car tax threshold

• car depreciation limit - $57,466;
• luxury car tax threshold - $59,133; and
• fuel efficient car limit - $75,375.