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    Matters under consultation

    We are consulting with the community on a range of matters affecting:

    If you would like to participate in a consultation matter or obtain further information, you can send an email to the contact person listed for the relevant matter.

    See also:

    Individuals

    [201759] Work related expenses

    [201750] Taxpayers' Charter review [UPDATED]

    [201759] Work related expenses

    Registered: August 2017

    Expected completion: July 2018

    Status

    A working group has been established and met for the first time on 10 November 2017. The group agreed to focus on the following key themes going forward:

    • influencing community attitudes – balancing community conversations via the media and improved public advice, guidance and tools
    • influencing tax practitioner behaviour – ranging from partnering with professional associations to provide education and support tools, greater transparency of risk profiles, targeting higher risk agents and publicly demonstrating the consequence of non-compliance
    • technology – providing real time messaging at point of preparation and progressing digital substantiation including enhancements to myDeductions or other products
    • ways to modernise and simplify work related expense rules, in particular those relating to higher risk areas.

    Purpose

    This consultation will:

    1. consider the risks associated with tax agents, and their clients who claim work related expenses
    2. explore and develop initiatives and treatments to support accurate and correct return preparation
    3. develop strategies in response to recommendations contained in the recently released House of Representatives Standing Committee on Economics Report on the inquiry into tax deductibilityExternal Link.

    Description

    The consultation will consider ways to improve how self preparers and tax agents self-regulate to ensure correct work related expense deductions are claimed in income tax returns.

    We will examine the processes used by tax agents when preparing returns and providing advice to clients in relation to work related expenses.

    The working group will co-design strategies to help the tax profession uphold professional standards and assist clients to make correct claims.

    Who we are consulting

    The ATO has established a working group of tax practitioners and representatives from the following tax profession associations:

    • CPA Australia
    • Chartered Accountants Australia and New Zealand
    • Institute of Public Accountants
    • National Tax Accountants’ Association
    • The Tax Institute.

    Contact

    Adam Kendrick, Assistant Commissioner, Strategy and Tax Agent Assurance, Individuals
    adam.kendrick@ato.gov.au telephone (02) 6216 1921

    [201750] Taxpayers' Charter review

    Registered: July 2017

    Expected completion: December 2017

    Status

    Consultation via Let’s TalkExternal Link closed on 31 August 2017. We are now conferring with the stewardship groups about the results and outcomes from the initial round of consultation before deciding on how to proceed.

    Purpose

    To determine whether there is a need to update the Taxpayers’ Charter and if so, what change(s) may be required.

    Description

    Following the Inspector General of Taxation’s review of the Taxpayers’ Charter and Taxpayer ProtectionsExternal Link completed in December 2016 we are inviting input with particular consideration to recommendation:

    1(e) The ATO consult with stakeholders on updating the Charter and in particular consider the following:

    i) the need to include any higher standards set by the ‘Reinvention Program’;

    ii) its application to digital interactions, tax practitioners when acting as agents or in their personal capacities and the interaction between taxpayers and any external services providers engaged by the ATO;

    iii) the impact of any recent law changes or evolution in tax administration and whether any additional or existing ‘rights’ should be incorporated;

    iv) the need for a clear statement that Charter ‘rights’ are not contingent on taxpayers discharging their ‘obligations’; and

    v) the most effective way of presenting the Charter, such as a single page summary of all ‘rights’ and ‘obligations’ with links to further information.

    We are committed to ensuring the Charter remains contemporary and reflects ATO clients and stakeholders expectations when dealing with us.

    Who we are consulting

    Broadly with the community via Let’s Talk as well as through the ATO’s stewardship groups.

    Contact

    Victor Bobrowski, Director, Governance and Performance Systems
    victor.bobrowski@ato.gov.au telephone (02) 4923 1684

    Business

    [201771] Practical approach to trust vesting issues [NEW]

    [201770] Transparency of tax debt [NEW]

    [201769] Major bank levy (MBL) [NEW]

    [201767] Tax incentives for early stage investors - principles based test [NEW]

    201766] TR 2017/D7 Income tax: when does a company carry on a business within the meaning of section 23AA of the Income Tax Rates Act 1986?

    [201761] Fringe Benefits Tax – definition of taxi [UPDATED]

    201745] Effective life review of assets

    [201744] Trust splitting arrangements [NEW]

    201645] Key taxpayer engagement [UPDATED]

    [201641] Petroleum resource rent tax – Closing-down expenditure [UPDATED]

    201615] Single Touch Payroll [UPDATED]

    [201512] Safe harbours – Fringe benefits tax and remuneration [UPDATED]

    [201508] Infrastructure privatisation [UPDATED]

    [201771] Practical approach to trust vesting issues

    Registered: December 2017

    Expected completion: February 2018

    Status

    A consultation paperExternal Link is available for comment with feedback provided via Let's TalkExternal Link.

    Purpose

    As part of consultation on Draft Ruling TR 2017/D10 Income tax: Trust Vesting - amending the vesting date and consequences of a trust vesting, we are also seeking feedback on practical issues that may arise where trusts have been administered after their vesting date in a manner that is inconsistent with the trust‘s vesting terms.

    Feedback provided will help inform our administrative approach in such cases, as well as the content and type of further public advice or guidance that we can provide.

    Description

    Draft Ruling TR 2017/D10 Income tax: Trust Vesting - amending the vesting date and consequences of a trust vesting outlines our view of the general law and taxation consequences of a trust vesting.

    Continuing to administer a trust in a way that is not consistent with its vesting terms (either intentionally or inadvertently), or ineffectively extending the trust’s vesting date, can have significant tax and other legal consequences.

    We would like to work with trustees as soon as they become aware that the trust’s vesting date has passed. We also intend to provide further advice and guidance to affected trustees and beneficiaries to assist them in managing their tax affairs.

    Who we are consulting

    Feedback is also open to the community through Let’s TalkExternal Link.

    We will also be consulting with members of the Private Groups Stewardship Group and other interested stakeholders in early 2018.

    Contact

    Matthew Campbell, Trust risk manager
    Matthew.Campbell@ato.gov.au telephone (02) 6058 7398

    [201770] Transparency of tax debt

    Registered: December 2017

    Expected completion: February 2018

    Status

    Public consultation has commenced on draft legislationExternal Link which will allow disclosure of tax debt information of businesses to credit reporting bureaus (CRBs).

    The ATO is also seeking feedback on our consultation paper which describes the administrative approach for this measure.

    Interested stakeholders are encouraged to provide their feedback by Friday 9 February 2018. Feedback on the consultation paper should be submitted via email to TaxDebtTransparency@ato.gov.au.

    Treasury and the ATO have previously undertaken targeted consultation in March to April 2017 with tax and industry professionals, and wider consultation in November 2017. This focussed on informing stakeholders on the administrative approach for the measure and consulting on the safeguards designed to protect business, including the right to review. Feedback received throughout the year has been considered and incorporated into the administrative design.

    Purpose

    The ATO is seeking feedback on the administrative approach to the proposed transparency of tax debt measure.

    Description

    Proposed legislation will allow the ATO to disclose tax debt information of businesses that are not effectively engaging with the ATO to manage their tax debt to CRBs. The consultation paper provides detail on:

    • the phased implementation
    • whose tax debt information may be reported
    • how an entity will be notified before its tax debt information is reported
    • how an entity can prevent its tax debt information from being reported
    • how an entity can request an ATO review before its tax debt information is reported
    • when the ATO may report an entity’s tax debt information
    • what tax debt information will be reported
    • who tax debt information will be reported to
    • how long tax debt information will remain on an entity’s credit report, and
    • what to do if tax debt information is reported incorrectly.

    Who we are consulting

    The draft legislationExternal Link and ATO consultation paper is available for general public consideration and comment.

    Contact

    Gail Hopley, Director, Transparency of tax debt project
    TaxDebtTransparency@ato.gov.au telephone (07) 3219 5991

    [201769] Major bank levy (MBL)

    Registered: November 2017

    Expected completion: March 2018

    Status

    The working group last met on 6 November 2017 to discuss recent developments in the implementation process, with consultation to continue on an ongoing basis.

    Purpose

    To consult with key stakeholders to progress the implementation of the MBL.

    Description

    The Major Bank Levy (MBL) applies to authorised deposit-taking institutions (ADIs) with a total liability greater than $100 billion for a particular quarter. The affected ADIs have a lodgment/reporting obligation with both the Australian Prudential Regulation Authority (APRA) and the Australian Taxation Office (ATO). The MBL is payable to the ATO. The general administration of the MBL resides with the Commissioner of Taxation.

    Who we are consulting

    • Australian Bankers Association
    • Australian Prudential Regulation Authority
    • Treasury

    Contact

    James Campbell, Director, Public Groups and International
    james.campbell@ato.gov.au telephone (02) 9374 8867

    [201767] Tax incentives for early stage investors - principles based test

    Registered: November 2017

    Expected completion: June 2018

    Status

    We are currently seeking feedback on our draft guidelines - A step-by-step guide to the principles-based innovation testExternal Link via Let’s TalkExternal Link until 22 January 2018.

    Purpose

    To seek feedback on our draft guidelines for investors in early stage innovation companies.

    Description

    We have developed the draft guidelines in relation to the application of the principles-based innovation test set out in Division 360 of the Income Tax Assessment Act 1997.

    The principles-based test is one of two alternative tests a company must satisfy to qualify as an early stage innovation company.

    Who we are consulting

    • tax practitioners via the Tax professionals newsletter
    • the business community via Business bulletins
    • the general community via ‘Let’s TalkExternal Link

    Contact:

    Tim Beale, Director, Private Groups and High Wealth Individuals
    timothy.beale@ato.gov.au telephone (07) 3213 5641

    [201766] TR 2017/D7 Income tax: when does a company carry on a business within the meaning of section 23AA of the Income Tax Rates Act 1986?

    Registered: October 2017

    Expected completion: December 2017

    Status

    Draft ruling TR 2017/D7 is open for comment until 1 December 2017.

    Purpose

    To seek feedback on draft ruling TR 2017/D7: Income tax: when does a company carry on a business within the meaning of section 23AA of the Income Tax Rates Act 1986?

    Description

    For 2016–17, small business corporate entities will be taxed at the 27.5% corporate tax rate (rather than the usual 30% corporate tax rate).

    To meet the definition of a small business, a corporate entity needs to be:

    • carrying on a business, and
    • have an aggregated turnover of less than $10m.

    If a corporate entity does not meet either of these criteria they will pay tax at the 30% rate.

    On 18 October 2017 the Commissioner published TR 2017/D7 Income tax: when does a company carry on a business within the meaning of section 23AA of the Income Tax Rates Act 1986? This draft ruling provides guidance on when a company is carrying on a business. The draft ruling confirms that it is not possible to definitively state whether a company is carrying on a business. It does however confirm that Limited and No Liability companies are likely to be carrying on a business where they are established and maintained to make a profit for their shareholders, and invest their assets in gainful activities which have both a purpose and prospect of profit.

    The draft Ruling addresses whether a company carries on a business in a general way. It does not address the scope or nature of a company's business. This is a separate question that needs to be answered in order to determine the taxation consequences of the transactions a company undertakes, such as whether a gain made is ordinary income or a capital gain, or whether an outgoing or loss is capital in nature.

    Early consultation on the draft ruling has highlighted a question about the provision around which the advice should be framed. The draft ruling addresses whether a company is carrying on a business for the purpose of identifying whether it is a base rate entity in section 23AA of the Income Tax Rates Act 1986 (ITRA 1986). This is relevant for determining whether it is subject to the 27.5% or 30% corporate tax rate in the 2017/18 and later income years. The reasoning expressed in the draft ruling is, however, equally applicable to determining whether a company is a small business entity within the meaning of section 23 of the ITRA 1986 and section 328-110 of the Income Tax Assessment Act 1997 (ITAA 1997) for the 2015/16 and 2016/17 income years, and therefore which rate is applicable to it in those income years.

    In light of this and the proposed changes to the law, the Commissioner is proposing to finalise the draft ruling in relation to section 23 of the ITRA 1986 and 328-110 of the ITAA 1997, rather than section 23AA of the ITRA 1986 as it is presently drafted.

    The draft ruling is available on the ATO Legal Database.

    Who we are consulting

    Consultation is open to the community, practitioners and companies generally.

    Contact

    Renee George
    companycarryingonbusiness@ato.gov.au telephone (07) 4753 7974

    [201761] Fringe Benefits Tax – definition of taxi

    Registered: September 2017

    Expected completion: February 2018

    Status

    The discussion paper closed for comment on 24 October 2017. The ATO has reviewed all the responses with further consideration and consultation happening internally. The ATO expects to finalise the matter by February 2018.

    Purpose

    To consider an interpretation of ‘taxi' for fringe benefits tax purposes that includes vehicles licensed to provide taxi services, including rank and hail services, ride-sourcing vehicles and other vehicles for hire.

    Description

    The ATO is consulting on the definition of ‘taxi’ contained in the Fringe Benefits Tax Assessment Act 1986 (FBT Act) and the exemption from fringe benefits tax for taxi travel taken to or from work or due to illness under section 58Z of the FBT Act.

    In light of a recent Federal Court decision in the matter of Uber B.V. v Commissioner of Taxation [2017] FCA 110External Link (Uber), and certain proposed changes to licensing regulations in a number of states and territories, we consider it is appropriate to review our interpretation of the definition of ‘taxi’ contained in the FBT Act.

    The FBT Act provides that taxi travel beginning or ending at work or undertaken due to sickness or injury is fringe benefits tax exempt. The exemption is limited to travel in a motor vehicle licensed to operate as a taxi.

    Who we are consulting

    Feedback was open to the community and industry stakeholders through the discussion paper on ato.gov.au, technical discussion paper TDP 2017/2 on the ATO Legal Database and Let’s TalkExternal Link.

    We have consulted with industry stakeholders including employers, tax professionals, industry representatives and state governments.

    Contact

    Anna Longley, Assistant Commissioner Private Groups and High Wealth Individuals
    Anna.Longley@ato.gov.au telephone (03) 8632 4575

    [201745] Effective life review of assets

    Registered: June 2017

    Expected completion: May 2018

    Status

    Consultation with appropriate industry participants will occur from June 2017 to December 2017, with public comment open until March 2018.

    Purpose

    To determine the effective life of assets used in the following industries:

    • spirit manufacturing
    • mining support services – oil and gas
    • wholesale trade (multiple industries)
    • fruit and vegetable processing – jam and dried fruit
    • scientific testing and analysis services
    • dairy product manufacturing (butter and ice cream manufacturing)
    • banking.

    Description

    Under section 40-100 of the Income Tax Assessment Act 1997 the Commissioner may make determinations of the effective life of depreciating assets. The determinations will be used to update and expand the effective life schedule attached to Taxation Ruling TR 2017/2.

    The draft effective lives determinations will be referred to an independent review panel expected to be held in May 2018. The review panel checks the review process to confirm that the level of industry consultation was appropriate. If approved, the effective life determinations are expected to apply to assets purchased on or after 1 July 2018.

    Who we are consulting

    Various profession associations, industry associations, businesses, suppliers, manufacturers and repairers of assets used in these industries.

    Contact

    • Kim Dziedzic (Fruit and vegetable processing – jam and dried fruit, and spirit manufacturing)
      Effective Life – Interpretative Assistance, Public Groups and International
      kim.dziedzic@ato.gov.au telephone: (07) 3213 5764
    • John Di Francesco (Mining and support services – oil and gas, and banking)
      Effective Life – Interpretative Assistance, Public Groups and International
      john.difrancesco@ato.gov.au telephone: (07) 3213 6059
    • Susan Li (Scientific testing and analysis services)
      Effective Life – Interpretative Assistance, Public Groups and International
      susan.li@ato.gov.au telephone: (07) 3119 9891
    • Shirley Liao (Dairy product manufacturing (butter and ice cream manufacturing))
      Effective Life – Interpretative Assistance, Public Groups and International
      shirley.liao@ato.gov.au telephone: (07) 3213 5264
    • Bernie Mosslar (Wholesale trade (multiple industries))
      Effective Life – Interpretative Assistance, Public Groups and International
      bernard.mosslar@ato.gov.au telephone: (07) 3213 5586

    [201744] Trust splitting arrangements

    Registered: November 2016

    Expected completion: December 2017

    Status

    A draft Taxation Determination was sent to members of the Private Groups Stewardship Group and other key stakeholders on 29 November 2017 for targeted consultation for comment within 3 weeks.

    Purpose

    To seek feedback on the ATO’s preliminary views on whether implementing a trust splitting arrangement will cause CGT event E1 to happen. Feedback provided will be taken into account before issuing the draft Taxation Determination for broader consultation.

    Description

    The ATO was asked to consider providing public advice and guidance on trust spitting arrangements and whether they result in the creation of a new trust and have other tax implications.

    A draft Taxation Determination has been prepared that addresses the question of whether a trust splitting arrangement of the kind described in the draft TD causes CGT event E1 to happen.

    A ‘trust split’ refers to an arrangement where the parties to an existing trust functionally split the operation of the trust so that some trust assets are controlled by and held for the benefit of one class of beneficiaries, and other trust assets are controlled and held for the benefit of others.

    Who we are consulting

    We are consulting with members of the Private Groups Stewardship Group, the Tax Institute and other interested stakeholders.

    Contacts

    [201645] Key taxpayer engagement

    Registered: August 2016

    Expected completion: January 2018

    Status

    We have worked with the Corporate Tax Association to develop and co-deliver a series of workshops with representatives from many of Australia's largest public and multi-national businesses in terms of the key taxpayer engagement (and other large market) initiatives. The workshops have been held in Melbourne, Perth, Adelaide, Brisbane and Sydney. We will be engaging with the large advisory firms to provide briefing sessions on these large market initiatives.

    Purpose

    To develop and implement the Key Taxpayer Engagement initiative.

    Description

    Earlier consultation confirmed that the ATO should develop a multi tax engagement approach to integrate with the current Annual Compliance Arrangement (ACA), Pre-lodgment Compliance Review (PCR) and the recently developed Indirect Tax PCR for the largest public and multinational business clients.

    Who we are consulting

    Corporate Tax Association and the Large Business Stewardship Group.

    Contact

    Jeff Stevenson, Assistant Commissioner, Public Groups and International
    jeff.stevenson@ato.gov.au telephone: (02) 8894 9455

    [201641] Petroleum resource rent tax – Closing-down expenditure

    Registered: August 2016

    Expected completion: December 2017

    Status

    The ATO consulted with stakeholders on ‘Closing-down expenditure’ during August and September 2017. As a result of feedback received, further consultation was undertaken on a draft Tax Ruling during October 2017. The ATO expects to publish the draft Tax Ruling in December 2017 for public consultation.

    Purpose

    To provide guidance relating to when a payment is considered to constitute closing-down expenditure within the meaning of section 39 of the Petroleum Resource Rent Tax Assessment Act 1987 (‘PRRTAA’).

    Description

    The ATO has been approached by a number of taxpayers seeking advice relating to the closing-down expenditure provision in section 39 of the PRRTAA in a number of scenarios, including persons holding a project combination certificate in respect of their production licences and the cessation of production on one or more (but not all) of the licences in the project combination certificate.

    On 30 November 2016, the Government announced a review into the operation of the Petroleum Resource Rent Tax, crude oil excise and associated Commonwealth royalties (the PRRT review). The Treasurer released the report of the PRRT review on 28 April 2017. The Government’s interim responseExternal Link to the review and its consultation paper were released on 30 June 2017.

    Recommendation 4 of the PRRT review specifically refers to the ATO consultation on this issue and provides that if the ATO does not provide sufficient clarity to address the application of s39 of the PRRTAA to partial closing down situations, the PRRT legislation should be amended to recognise partial closing down expenditure as general project expenditure if the tests for such expenditure are met.

    Who we are consulting

    Industry members through the Australian Petroleum Production & Exploration Association (APPEA) and the tax profession represented on the Energy and Resources working group.

    Contact

    [201615] Single Touch Payroll (STP)

    Registered: April 2016

    Expected completion: July 2018

    Status

    STP Design Working Group – met on 21 November 2017 with strategic discussions around changes to the Business Implementation Guide (BIG), progress of the Client Engagement Focus Group, and PAYGW and Activity Statement Focus Group.. Updates were also provided for employee commencement and super reporting.

    Further information can be found at the Let's Talk STP DesignExternal Link page.

    Software Developers Technical Working Group – The group continues to meet monthly. Current STP IT technical issues being progressed are:

    • alignment of schedule - The STP Technical Change Roadmap, showing scheduled changes, and changes still being impact assessed and/or under industry consultation. The purpose is to give certainty to assist DSPs develop end-state solutions.
    • return error messaging, file size management, SLA of up to 72 hours, service recovery strategy – a communications paper is being finalised for distribution to DSPs.
    • conformance and assurance (testing) – the group combined with DSPs from other ATO initiatives to develop recommendations for improvement. The ATO is evaluating the recommendations to establish work to make necessary improvements in all testing with an immediate focus on STP testing
    • employee commencement - during the coming months, the group will evaluate technical implementations to supporting this feature.

    Meeting outcomes and further information can be found on the Software Developers Technical Working GroupExternal Link page.

    From 2018, this group will be renamed as the ATO Digital Service Provider (DSP) STP Technical Committee (STPTC). There will be an opportunity to review the membership for this group to ensure the right stakeholders are attending.

    STP Readiness Working Group – met on 9 November 2017 with discussions around the program focus areas, publishing of the digital service provider deferral content, readiness activities to support the employer deferral and exemption process, the Employer Engagement Forum and planning for the ‘Get Ready’ phase..

    Meeting outcomes and further information can be found on the STP Readiness Working GroupExternal Link page.

    STP Advisory Group – met on 23 November 2017 with strategic discussion held around the process and progress of the critical STP Program focus areas including the employer web content, Business Implementation Guide (BIG) and scenarios, technical change roadmap and Operational Framework. Further discussions focussed on exemptions and deferrals, the client engagement approach and planning for the ‘Get Ready’ communications phase..

    Further information can be found on the STP Advisory GroupExternal Link page.

    Purpose

    To:

    • raise awareness of Single Touch Payroll across industry
    • ensure we engage with a broad cross section of industry, including software developers, solution providers, associations and businesses
    • work in partnership with industry for them to help shape and influence design
    • use industry expertise and experiences as we progress the implementation of STP.

    Description

    Schedule 23 of the Budget Savings (Omnibus) Act 2016External Link contains Single Touch Payroll reporting which means:

    • employers will no longer need to generate payment summaries for their employees
    • employers will no longer be required to generate annual payment summary reports
    • there is no requirement to pay PAYG withholding at the time of reporting, however an employer may make voluntary payments if they choose.

    Who we are consulting

    • Intermediaries
    • software developers
    • businesses
    • industry representatives
    • super funds and clearing houses
    • employees.

    Contact

    John Shepherd, Assistant Commissioner Single Touch Payroll, Superannuation
    singletouchpayroll@ato.gov.au telephone: (02) 6216 6678

    [201512] Safe harbours – Fringe benefits tax (FBT) and remuneration

    Registered: March 2015

    Expected completion: February 2018

    Status

    During November 2017 we determined that we cannot proceed with a Practical Compliance Guide (PCG) on minor benefits, including minor entertainment benefits. We are unable to provide simplified guidance due to the diversity of the minor benefits provided by employers. We propose to explore whether an amendment to Taxation Ruling TR 2007/12 – Fringe benefits tax: minor benefits or Fringe benefits tax – A Guide for Employers might assist employers in reducing red tape.

    A PCG on the minor use of exempt vehicles was published on 18 December 2017.

    Further consideration of other FBT safe harbour options is to be being undertaken in consultation with the working group.

    Purpose

    To identify and achieve red tape reductions in the area of FBT and remuneration.

    Description

    To explore proposals with a view to developing safe harbours that align the tax treatment with commercial realities and provide appropriate risk mitigation.

    Who we are consulting

    Profession bodies, industry representatives and key tax agents.

    Contact

    Philip Turnour, Private Groups and High Wealth Individuals
    FBTRisk&Intell@ato.gov.au telephone: (03) 5227 1668

    [201508] Infrastructure privatisation

    Registered: March 2015

    Expected completion: June 2018

    Status

    The draft Infrastructure Framework document was issued on 31 January 2017 with stakeholder consultation continuing. Due to the current Treasury stapled structures consultation process taking place, the expected date for final release is now not likely to occur until early 2018..

    Separately, we have sought feedback regarding negative control in the context of Division 6C. An updated document is expected to be released by December 2017, with some further stakeholder consultation likely.

    Purpose

    To identify key tax issues associated with infrastructure privatisation and establish the ATO position. Consultation will take place progressively regard identified tax issues.

    Description

    To identify critical tax issues with Infrastructure privatisation and to make submissions about appropriate tax treatment.

    Who we are consulting

    • Law Council of Australia
    • The Tax Institute
    • Chartered Accountants Australia and New Zealand
    • Infrastructure Partnerships Australia
    • Corporate Tax Association
    • Property Council of Australia
    • AVCAL
    • large accounting and law firms and potential infrastructure investors.

    Contact

    Peter Maher, Director, Public Groups and International
    peter.maher@ato.gov.au telephone: (03) 9946 9049

    Super

    [201768] APRA fund communication and engagement [NEW]

    [201758] Draft Practical Compliance Guideline: Propagation arrangements adopted by registerable superannuation entities [UPDATED]

    [201753] Downsizer contributions to superannuation [UPDATED]

    [201752] First home super saver scheme (FHSSS) [UPDATED]

    201615] Single Touch Payroll [UPDATED]

    [201768] APRA fund communication and engagement

    Registered: November 2017

    Expected completion: April 2018

    Status

    An APRA Fund Communications Reference Group has been established and will meet in December.

    Purpose

    To co-design with industry, improvements to the way we communicate and engage with the APRA fund community.

    Description

    The ATO needs to look for opportunities to improve its approach to communication and engagement with APRA regulated funds. A short term reference group will act as a sounding board to address irritants and co-design improvements.

    Through this group we plan to identify principles that can be applied to future communication and engagement activities with APRA regulated funds to ensure information is received and consumed in the best possible way.

    This Reference Group will report findings through the Superannuation Administration Stakeholder Group.

    Who we are consulting

    Representatives of the APRA-regulated fund community, including superannuation associations and industry bodies.

    Contact

    Kylie Smith Director, Superannuation
    kylie.smith@ato.gov.au telephone (02) 6216 1608

    [201758] Draft Practical Compliance Guideline: Propagation arrangements adopted by registerable superannuation entities

    Registered: August 2017

    Expected completion: January 2018

    Status

    The industry consultation period in regard to draft practical compliance guideline PCG 2017/D16 has now closed. The ATO is currently in discussions with relevant ATO and non-ATO stakeholders on issues raised in the submissions received.

    PCG 2017/D16 is expected to be finalised in January 2018.

    Purpose

    To set out the ATO's compliance approach to the use of propagation to select assets for disposal and the circumstances where propagation arrangements satisfy the asset identification principles and record keeping methodologies described in CGT Determination Number 33 (TD 33), and Taxation Rulings TR 96/4 and TR 96/7.

    Description

    We are seeking industry feedback on the draft practical compliance guideline which assists registrable superannuation entities to examine the characteristics of their propagation arrangements to determine the likelihood of an ATO review.

    Who we are consulting

    Comment is open to APRA-regulated funds and other relevant stakeholders in the community.

    Contact

    Ricardo Coburn, Public Groups International, Advice and Guidance
    ricardo.coburn@ato.gov.au telephone (03) 9275 2040

    [201753] Downsizer contributions to superannuation

    Registered: August 2017

    Expected completion: December 2017

    Status

    An industry consultation session was held on 9 August 2017 and focussed on the parameters around eligibility, elements associated with the approved form and what the changes will mean from a system perspective. A similar consultation session occurred with the broader Superannuation Administration Stakeholder Group on 16 August 2017.

    On 12 September 2017 we met with APRA to talk through the reporting requirements and notification process from a broader regulatory perspective. We have also consulted further with the Association of Superannuation Funds of Australia (ASFA) and a small industry sub-group in relation to the administrative design and Member account transaction service (MATS) reporting requirements on 7 September and 21 September 2017.

    We plan to consult with SMSF industry representatives in early December 2017. A workshop to progress the reporting design requirements for large funds is planned for mid-December 2017.

    Purpose

    To work through the implementation design for this measure aimed at improving housing affordability with impacted stakeholders.

    Description

    This measure was announced in the 2017 Federal budgetExternal Link. Discussions will consider:

    • administrative design
    • reporting requirements
    • law companion guidelines
    • other specific implementation issues

    to enable a thorough understanding of the operation of the system in the development of the design to support the new measure.

    Who we are consulting

    Representatives of tax and accounting professional associations and industry bodies, the Superannuation Administration Stakeholder Group, Individuals Stewardship Group, Australian Prudential Regulation Authority (APRA) and superannuation funds.

    Contact

    Julie Rowland, Project Manager, Superannuation
    julie.rowland@ato.gov.au telephone (03) 6221 0632

    [201752] First home super saver scheme (FHSSS)

    Registered: August 2017

    Expected completion: December 2017

    Status

    An industry consultation session was held on 9 August 2017 which discussed broadly what the scheme will mean and the impacts on the fund experience. A similar consultation session occurred with the broader Superannuation Administration Stakeholder Group on 16 August 2017.

    We have consulted further with industry as we progress the detailed design of this scheme. Further discussions on this measure were held on 9 November 2017, with the broader Superannuation Administration Stakeholder Group briefed on 29 November 2017.

    Purpose

    To work through the implementation design of the First home super saver measure with impacted stakeholders.

    Description

    This measure was announced in the 2017 Federal budgetExternal Link. Discussions will consider:

    • administrative design
    • reporting requirements
    • law companion guidelines
    • other specific implementation issues

    to enable a thorough understanding of the operation of the system in the development of the design to support the new measure.

    Who we are consulting

    Representatives of tax and accounting professional associations and industry bodies, the Superannuation Administration Stakeholder Group, Individuals Stewardship Group, APRA and superannuation funds.

    Contact

    John George, Project Manager, Superannuation
    john.george@ato.gov.au telephone (02) 9354 3488

    Tax professionals

    [201772] Digital service provider operational framework [NEW]

    [201655] Improving digital services for tax practitioners [UPDATED]

    [201772] Digital service provider (DSP) operational framework

    Registered: December 2017

    Expected completion: January 2018

    Status

    The DSP Operational Framework working group has reached endorsement on positions for each of the key issuesExternal Link identified. We will continue to work with digital service providers to establish suitable timeframes for the implementation of the framework.

    Purpose

    To understand an industry position for each of the key issuesExternal Link and establish implementation timeframes.

    Description

    The growth of our digital wholesale services increases productivity and community connectivity across the digital economy. This connectivity presents a range of service opportunities, business risks and security implications for the organisation and the Australian community.

    The DSP Operational Framework is part of our response to these risks and establishes how we will provide access to, and monitor the digital transfer of data through software.

    Who we are consulting

    In collaboration with the Digital Business Council, we are consulting with:

    • digital service providers
    • Australian Business Software Industry Association

    Contact

    Martin Mane, Director – Digital Partnership Office
    dpo@ato.gov.au telephone: (02) 6216 6182

    [201655] Improving Digital Services for tax practitioners

    Registered: September 2016

    Expected completion: June 2018

    Status

    Further co-design of features with the community continues with a private BETA due to commence in December 2017. Software features remain in the test environment pending the outcome of the Operational Framework.

    Purpose

    To co-design, plan and test products developed in the Improving Digital Services project through a range of integrated and innovative activities before communicating and releasing to the wider tax professional community.

    Description

    The Improving Digital Services project will transition services from the ATO Tax and BAS Agent Portals to a contemporary platform – ATO Online. Agents will have significantly improved services, including redesigned functionality and some enhancements directly from the ATO.

    Digital service providers will be able to include similar functionality in their software products if they choose, along with some additional functionality not available from the ATO.

    The ATO will co-design and consult on features as they are developed, including private and public BETA testing

    Who we are consulting

    We are consulting with:

    Contact

    Sylvia Gallagher, Experience Director for Tax and BAS Agents
    TaxandBASAgentExperience@ato.gov.au telephone: (02) 6216 6404

    Last modified: 19 Jan 2018QC 43740