Australia: Tax Treaties

The Federal Court of Australia has clarified the operation of section 707-145 of the Income Tax Assessment Act 1997, determining that a head company's choice to cancel the transfer of tax losses must be made in relation to the joining year. The judgment in Evolution Mining Limited v Commissioner of Taxation provides critical guidance on the timing requirements for cancelling automatic loss transfers in consolidated groups, confirming that choices made in later income years are ineffective.

Recent Federal Budget tax reforms have prompted many Australians to consider relocating overseas, but the complexities of tax residency often lead to unintended consequences. Understanding the distinction between tax residency and immigration residency, along with dual-tax residency implications and recent tribunal determinations, is crucial for anyone planning an international move. Key considerations include how Australia determines tax residency, the role of Double Tax Agreements, and recent case law tha

The Australian Government has introduced legislation to significantly expand the foreign resident capital gains tax regime, broadening the definition of taxable Australian property to capture infrastructure...

The Foreign Acquisitions and Takeovers Fees Imposition Amendment Bill 2024 (Fees Imposition Bill) and Treasury Laws Amendment (Foreign Investment) Bill 2024...

In this article, we provide an overview of the OECD Pillar 2 framework and the current status of the rules in Australia, and discuss some of the key implications and challenges...

The Australian Taxation Office (ATO) issued a new draft taxation ruling (TR 2024/D1) on 17 January 2024 in relation to the character of receipts...

One of the surprises in this Budget was the increase of the rate of the managed investment trust withholding tax to 15%.

New case highlights the requirements of becoming a foreign resident for tax purposes in Australia.

The proposed FAF rules were introduced as part of a wider package of reforms to Australia's foreign-source income attribution rules that were announced in May 2009 Federal Budget.