This edition includes a summary of significant superannuation tax news and announcements made as at 31 October 2016, including:
- Country-by-country: Exemption Guide
The ATO has released further guidance for taxpayers who are or who will be subject to the country-by-country reporting (“CbCR”) regime. The guidance outlines how taxpayers can apply for a specific exemption from some or all of the CbC reporting obligations and the general principles the ATO will take into account in making its decision.
- ATO focus on foreign income tax offsets (FITO)
The ATO has issued a number of Client Risk Reviews and Streamlined Risk Reviews to superannuation funds focusing on the application of the original version of Taxation Ruling TR 2014/7 (released in December 2014) to determine the FITO limit for the 2015 year.
- Ward v Commissioner of Taxation: Excess super contributions and “special circumstances”
The Full Federal Court on 5 October 2016 allowed a taxpayer’s appeal after ruling that the Administrative Appeal Tribunal (“AAT”) erred by taking too narrow a view of what may constitute “special circumstances” under section 292-465 of the Income Tax Assessment Act 1997 (“ITAA 97”).
- Departing Australia Superannuation Payments – proposed change to tax treatment
On 12 October 2016, the Superannuation (Departing Australia Superannuation Payments Tax) Amendment Bill 2016 was introduced in parliament as part of a package of four bills in relation to tax arrangements for working holiday makers. The Bill amends the Superannuation (Departing Australia Superannuation Payments Tax) Act 2007 to increase the rate of the departing Australia superannuation payments (“DASPs”) tax to 95 per cent for working holiday makers.
- Other superannuation matters.