TR 2012/8A1 - Addendum
Income tax and fringe benefits tax: assessability of amounts received to reimburse legal costs incurred in disputes concerning termination of employment
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This Addendum is a public ruling for the purposes of the Taxation Administration Act 1953. It amends Taxation Ruling TR 2012/8 to improve the terminology used in Example 3, to ensure there is no confusion in the application of the Ruling having regard to current employment and industrial laws.
Omit the last sentence in brackets; substitute '(Due to her circumstances, Debbie only has access to common law remedies.)'.
Omit the last sentence; substitute 'Correspondence between the parties indicates that the parties have agreed to settle for the sum of $120,000 in relation to her dismissal claim and that Debbie's former employer has agreed to pay $20,000, being two thirds of her legal costs shown in the bill.'.
Commissioner of Taxation
14 May 2014
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