On 15 October 2019, the Treasury Laws Amendment (2018 Measures No 2) Bill 2019 (Bill) passed the House of Representatives and has now been introduced to the Senate.

You have made the decision to sell your company or business. But ask yourself, what is it that you are selling? Is it the shares in the company or is it the underlying assets and/or business? Where is the underlying value in the business that will attract potential buyers?

In the most recent chapter of the battle between the Victorian State Revenue Office and The Optical Superstore Pty Ltd, the Commissioner of State Revenue has claimed victory, with the Court of Appeal finding on 12 September 2019 that transfers of funds made to optometrists by Optical Superstore were subject to payroll tax under Victorian law.

When considering whether an allied health worker is an employee or a contractor, one factor to consider is in respect of the provision of tools, equipment and other assets required to undertake the work.

The measure of control exercised by one party over the other is an important factor in determining the nature of the relationship between a purported contractor and principal, or employee and employer.

Workers in the allied health industry, such as nurses, doctors and other professionals may find themselves exposed to many different risks and hazards on a day-to-day basis, including lifting and moving patients and equipment; work-related stress; slips, trips and falls; exposure to infectious diseases and occupational violence.

The tax obligations on a practice in relation to an employment relationship are often perceived as being significantly more costly (and restrictive) compared to simply engaging a practitioner as an independent contractor. However tread carefully when making this decision, as getting your characterisation of a worker wrong can be even more costly and you may find yourself on the wrong side of the law.

Upon the termination of a relationship between the practice and practitioner, who will retain the patient records? Where will they be stored? Is the practitioner permitted to access the records, or make a copy?

Goodwill is the essence of any business, and can often be a business’ most valuable (albeit intangible) asset. The value of goodwill lies in brand identity or recognition, customer networks, positive customer and employee relations, and broadly speaking, reputation.

Determining whether an individual is an employee or contractor can leave you scratching your head. There is unfortunately little clarification in the context of superannuation entitlements and determining whether payments to a contractor are covered by the superannuation guarantee (SGC) regime further blurs the line between contractor and employee.

Medical, dental and allied health professional structures have and continue to be designed to engage professional staff that are labelled and treated as independent business operators known as “independent contractors”.

Last week, the Australia Charities and Not-For-Profits Commission introduced External Conduct Standards (ECS), with which all charities that operate overseas (including Basic Religious Charities) must comply.

Landholder duty is a state tax that was introduced to impose duty on acquisitions in landholding entities. 

The ‘economic entitlement’ provisions of the landholder regime are an integrity measure unique to Victoria. Previously, they applied duty to transactions which provide the acquirer with an economic entitlement that amounts to an interest of 50% or more in a private landholder. This specifically impacts arrangements where developers or builders agree with a landholder to receive 50% or more of the profits or income of a landholder’s land without actually acquiring an interest in the landholding entity.

Since 1 July 2017, a lower Victoria payroll tax rate of 3.65% has applied to wages paid by regional employers. This rate was further reduced to 2.425% from 1 July 2018.

This is the second in a series of articles on strategies that can be employed in a tax dispute with the ATO.

Tax disputes can be costly, time consuming, and stressful, even if the taxpayer is ultimately successful.  When approached by the Australian Taxation Office (ATO), we will always advise clients to engage with the ATO to either resolve or narrow the issues in dispute as quickly as possible. 

This is the first in a six-part series of articles on strategies that can be employed in a tax dispute with the ATO.

Tax disputes can be costly, time consuming, and stressful, even if the taxpayer is ultimately successful.  When approached by the Australian Taxation Office (ATO), we will always advise clients to engage with the ATO to either resolve or narrow the issues in dispute as quickly as possible. 

The Australian Taxation Office (ATO) recently announced that it will be looking at whether trustees are properly lodging tax file number (TFN) reports for TFN withholding for closely held trusts.

The Coalition’s ‘miracle’ win may not have been foreseen by the polls or the pundits, however either way the votes fell, the tax and superannuation landscape was up for change.

Many homeowners are currently feeling the sting of the bearish turn the property market has taken, and the Victorian State Revenue Office (SRO) are rubbing salt in the wounds as they issue significantly increased land tax assessments.

Marriage can be a beautiful bond between two people. A promise between the two to join their lives. Their souls….

…and all of their tax debts!