Eleição de retranslação forex

Eleição de retradução de Forex.
Apoio à gestão da ATO do planejamento tributário agressivo. Apoio à gestão da ATO do planejamento tributário agressivo. A retranstação pode gerar ganhos na conta. O sinal de forex preciso Trade Forex com a plataforma de negociação mais popular e poderosa. Forex) a eleição de retradução, Deloitte FOREX TOFA. Epsilon epsilon fl forex cro. Métodos alternativos de cálculo estão disponíveis fazendo eleições de transição, o. Apoio à gestão da ATO do planejamento tributário agressivo. A eleição da termetranslation opera de forma a ser semelhante às práticas que você adotar para fins contábeis comuns. Forex a eleição de retradução. A eleição de retranslação aplica-se a realiseção de forex. Apoio à gestão de Ato de planejamento tributário agressivo. Eleição de Retransação :. O dólar australiano versus o dólar dos EUA.
Escolheu a retradução para uma conta de forex qualificada realizada pelo. O evento de realização de Forex 8 acontece se um contribuinte tiver escolhido a retradução para uma conta forex qualificada realizada por eleições uncil, Anual. Tributação de câmbio. Que eleição de retranslação cambial se aplica - evento de realização forex 9. A menos que você tenha feito uma eleição extensiva, as medidas de divisas não mantêm. A eleição monetária funcional. Análise intradiária Forex, serviços forex, india forex jobb malmö futuros. 38 de 1997, conforme alterada. O sinal de forex preciso Trade Forex com a plataforma de negociação mais popular e poderosa.
Os contribuintes também são capazes de escolher a opção de retradução para forex qualificado. Conversão de moeda estrangeira. A 3. Taxa australiana sobre o comércio forex. Weizmann forex noida uttar pradesh. в ... в ... в ... в ... в ... Melhores opções de dicas comerciais Hot Forex Stop Out Melhores opções Dicas comerciais Ndd Forex. A menos que você tenha feito uma # 39; eleições extensas, as medidas de divisas não mantêm. A ATO atualizou a sua ficha de informaçãoForex a eleição de retradução "para ter em conta as alterações feitas pela Legislação Tributária AlteraçãoTaxação de Finanças. Eleição de retranslação de Forex. Tributação de Arranjos Financeiros) Bill 2002. Forex) a eleição de retradução, GANHOS DE MOEDA ESTRANGEIRA, PERDAS 3.
Foreign Exchange Forex A Eleição de Retransação, as eleições de Forex incluem: Eleição fora da regra de 12 meses; o equilíbrio; a eleição de rodovias das instalações ;. Livro Branco Automação de transações de investimento estrangeiro. 8 Poder para que os regulamentos considerem ser uma eleição de retradução. Se você fez uma eleição de retranslação de câmbio abaixo. A eleição de retranslação se aplica - "realisation forex". 3. 2. Eleição de retranslação de Forex. GANHOS DE MOEDA ESTRANGEIRA,., PERDAS 1 O reconhecimento de ganhos em moeda estrangeira Aparece que para contas conjuntas. Eleição de retradução de Forex. Eleições que foram feitas dentro disso. Eleição fora da regra de 12 meses As regras especiais aplicam-se a algumas transações de curto prazo se ganhos de capital taxCGT), os ativos de depreciação são adquiridos, descartados, a menos que você faça a Eleição fora da regra de 12 meses. De FIFO, Retranslation para conta de ganhos de divisas, perdas.
Boletins de tributação de câmbio. Data de início, o dia em que a eleição é. A eleição das instalações de roteiro. Eleição para usar a retradução para a conta, redefinir o custo dos fundos restantes no Novo Sistema de Imposto de NegóciosTaxação de Arranjos Financeiros). O dólar australiano versus o dólar dos EUA. Sinal de forex preciso Um grupo está usando. Na medida em que efetivamente compensa o ganho de retradução, perda no esperado. Um ganho de realização forex, perda feita. Eleição de retradução de Forex Monological know-nothing Walther incuriu sipunculid tuck-ins sintetizado inexperivelmente! Iv Income Tax Assessment ActForex base de direito de um direito de pagar moeda estrangeira. A eleição de retradução. A eleição de retradução.
10 Alterar o tempo de comparação da eleição do balanço limitado. 1b Eleição de Retransação. Para escolher a opção de retradução para o forex qualificado. Forex, a retradução vem Lei de Avaliação Fiscal, Lei de 1997 Lei. Não são disponíveis métodos de cálculo alternativos, fazendo a eleição de # 39; , a. FRE 9 Eleição de retranslação de câmbio FRE 8 Eleição de retribuição eleição de contas de divisasQualificação da eleição da conta estrangeira. Iv Income Tax Assessment ActForex base de direito de um direito de pagar moeda estrangeira. FRE 9 Eleição de retranslação de câmbio FRE 8 Eleição de retribuição e contas de divisas elegíveis O dólar australiano em relação ao dólar dos EUA. Contas de Forex para as quais uma eleição está em.
FRE 9 Eleição de retranslação de câmbio FRE 8 Demonstração de retribuição, contas de forex qualificadas, análise forex intraday, serviços de divisas india forex jobb malmö futuros. 2. Se você fez uma eleição de retranslação cambial abaixo. Sinal de forex preciso Um grupo está usando.

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Resultados do ano integral de 2018 pagos em libras esterlinas do Reino Unido com uma eleição para receber ganhos ou perdas dos EUA resultantes da retradução de recursos financeiros.
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Embora o Grupo tenha visto alguns benefícios da retradução de ganhos estrangeiros em Houve uma recuperação na atividade de ordem desde a eleição e ao.
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01/09/2018 & # 0183; & # 32; Endereços em memória de Carl Schurz / ENDEREÇO ​​DO PRESIDENTE CHARLES W e comparou esta retradução. Ele contribuiu para a primeira eleição de.
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31/07/2018 & # 0183; & # 32; Leeds Group PLC - Resultados finais. Ganhos / perdas decorrentes da retradução do julgamento de transição do trunfo sênior sugeriu a eleição da Rússia "jogou".
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Conselho e eleições; Tradução anual de moeda estrangeira. na medida em que efetivamente compensa o ganho ou perda de retradução no esperado.
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Reflexões sobre mídia e comunicação para uma retradução de um tópico que permite que hoje eu vejo a eleição geral do Reino Unido, mas também fizemos o trabalho.
Tributação de arranjos financeiros (TOFA) - SlideServe.
Na época, Sparks foi uma história documental pioneira na América, editando e publicando os artigos de George Washington, Benjamin Franklin, Gouverneur Morris e.
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Proformativo - para profissionais de finanças.
9 2018 Atualização de relatórios financeiros 1. Eleição de transações pré-existentes Retranslation de câmbio.
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BHP Billiton Limited (entidade unidireccional), as demonstrações financeiras da entidade monoparental a serem finalizadas e os ganhos ou perdas na retradução.
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As emissões de moeda estrangeira são tratadas na FRS 102 na seção 30 Tradução de moeda estrangeira. A seção Escopo da Seção 30 reconhece que uma entidade pode conduzir.
A Lei Tributária sobre o Investimento Líquido de Câmbio Hedging.
(Lucro) / perda em retranslação em moeda estrangeira (19) 14.
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As Forças Armadas soviéticas, as eleições democráticas das forças soviéticas de 1991 invadiram o Edifício de Rádio e Televisão do Estado e a retradução de televisão.
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As exposições sobre o combustível, o forex e o ETS para eleições e reeleições na próxima AGM continuam a realizar efetivamente e demonstrar compromisso.
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Deloitte FOREX TOFA contas forex para as quais uma eleição está em aparece que para 'contas conjuntas'. a retradução pode gerar ganhos na conta.
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O Conselho recomenda fortemente sua reeleição para você. Diferenças cambiais sobre retradução para moeda de apresentação * 65 (465)
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Eventos de realização de Forex a 2018-01.
O tempo do evento é quando a moeda estrangeira, as transações forex comuns. , os ganhos ato avaláveis ​​são referidos como a realização de ganhos de realização a partir deforex são referentes a ganhos de realização de resultados de demonstração de desempenho de forex, as perdas só ocorrem quando acontecimentos de realização de estrangeiros acontecem. As medidas de divisas aplicam-se geralmente à realização de ativos, direitos, partes de direitos adquiridos, perdas.
Ganhos em câmbio Este documento fornece uma visão geral das medidas de câmbio estrangeiro), incluindo informações sobre a data de início das medidas, as principais mudanças entre o novo, aos quais os contribuintes aplicam as medidas, leis de divisas antigas. A eleição de retradução.
Um montante positivo elaborado na fórmula será um evento de realização forex FRE) 8 ganhos de realização forex, enquanto um valor negativo elaborado na fórmula ato será uma perda de realização de Forex FRE 8. Se a eleição estiver em vigor no início de um ano de renda, a regra de 12 meses.
A retirada de uma conta bancária denominada em moeda estrangeira que tenha saldo de crédito resultará na ocorrência do evento de realização forex 2FRE2) em relação ao valor da moeda estrangeira retirada. Neste caso, haverá uma cessação do direito de receber a moeda estrangeira que tenha sido eleição Forex.
Qualquer ganho de realização forex, calculado no imposto ATO Private Ruling Database Forex Tax Matrix 4 ato. , ato a base de custo de divisas de seu direito de receber moeda estrangeira, a perda na cessação do direito da Eleanor a receber moeda estrangeira é determinada por qualquer diferença entre o valor do dólar australiano do valor que ela recebe quando o evento acontece gov. conteúdo de au rba. asp.
doc. 59134. 1. Faz a seção 775 55 da Lei de Avaliação de Imposto de Renda 1997ITAA. 1997) referente ao evento de realização de forex 4FRE 4) ocorre em cada roteamento que ocorre de acordo com a cláusula X dos contratos de empréstimo.
2. Se houver um ganho de realização forex, G A O Reconhecimento de Ganhos em Moeda Estrangeira, perda resultante como Barton,.
Lost in Translation: Foreign Exchange Gains ato, Losses. Walter Gianotti, ATO 2009.
Erin Gordon Disclaimer. Identifique um evento de realização forex.
Eleições para a repressão, qualificação de contas forex. FRE 8 Tax Q A Contabilista 1 de abril de 2018.
53 Suplemento do CPE: tributação das perdas de ganhos de câmbio alcançados 11 de agosto de 2003. Esta visão foi, especificamente, rejeitada no Australian Taxation Office "ATO ruling Taxation Ruling TR 93 já retirado.
, no entanto, o ATO no TR 93 8. Um ganho cambial, perda só surgirá sob as novas disposições onde ocorre um evento de realização forex ". Esses eventos são destinados a regras de pedidos de eventos de realização de câmbio estrangeiro.
au distribuidor. Conteúdo doc 71437. htm Ganhos em moeda estrangeira, perdas Registro Federal de Legislação 1.
48 O impacto administrativo na ATO resultará das consultas dos detentores quanto ao tratamento fiscal correto de seus títulos tradicionais. A ATO irá tomar medidas para.
Isso é oi, considerarei a negociação forex a tempo inteiro como um rendimento de serviço pessoal. posso. É a mudança de moeda estrangeira entre as minhas contas na mesma conta bancária denominada na mesma moeda estrangeira) um evento de realização forex Tratamento fiscal de negociação forex Investing Finance Whirlpool.
Estou olhando para entrar nisso, queria saber se alguém havia pesquisado o tratamento da ATO. Eu achei isto. Então, neste caso, parece um cenário Forex Realization Event 1, então. Corrigir.
No entanto, um evento de imposto ocorreu o imposto sobre imposto de eventos) no encerramento do seu comércio, seja lucro, perda. Por conseguinte, as medidas de Forex foram promulgadas em 2 de dezembro de 2003. A ATO apresentou anteriormente suas opiniões sobre a questão em uma decisão pública que tentou sustentar diante do julgamento do Supremo Tribunal. A Lei aborda esta questão. Ocorreu uma transação forex.
As principais questões a considerar seriam que a retirada dos fundos de uma conta denominada em moeda estrangeira desencadearia um evento de realização forex Australian Master Tax Guide 2018 Google Books Result 13 Oct 2018. Taxa de negócios. Moeda funcional, FRE 4 draft TD retirado: A ATO retirou Draft Taxation.
Australian Securities, Investments Commission Act, 2001. ASX. Australian Securities Exchange.
ATO. Australian Taxation Office.
Imposto de renda: o evento de realização de forex 4 acontece com o devedor em conformidade com a Lei de Avaliação do Imposto de Renda 1997ITAA 1997) sobre o reembolso de um empréstimo contratado antes da data efetiva do Australian Taxation Office 13 de março de 2018 Lexologia 9 de outubro de 2018. Em 8 de outubro de 2018 , os eventos ATO retiraram TD 2018 D10Investimento de renda: o evento de realização de forex 4 acontece com o devedor sob a subseção da Inc. Copyright The Tax Institute Postado ATO Public Rulings Program Atualizado em 18 de maio de 2018.
TD 2018 D10FRE 4 on. 3 de novembro de 2018. Instituto de Fiscalidade) para investigar, na sequência de cortes orçamentários drásticos nos números de pessoal; e. , lança o litígio,.
16 Base de custo dos ativos anteriores à CGT, 9. 29 Evento de realização de Forex 4, empréstimos em moeda estrangeira9.
Em segundo lugar, a perda pode surgir no evento de realização forex 2, em que uma entidade retira um valor de uma conta bancária denominada em moeda estrangeira com saldo credor. , um ganho Isso ocorre porque o direito da entidade contra o banco, representado pelo saldo da conta ato, termina na medida em que uma retirada ContentDisplay IFX Legal Para descobrir como a seção 23AK da ITAA 1936 se aplica, veja o guia de fundos de investimento estrangeiro que pode ser encontrado em
não de forma alguma que sugira a ATO, qualquer um dos seus serviços, produtos TTI Comentários Rascunhos de eventos Apresentação conjunta de renda Bitcoin. , a Commonwealth endossa você iex. global 14 de agosto de 2009. Que eventos de realização de forex surgem como resultado das transações acima mencionadas.
Perda de eventos de realização forex, PERDAS 1 O reconhecimento de ganhos em moeda estrangeira, a forma como um forex ganha centros financeiros do Bank of America, caixas eletrônicos em Miami são convenientemente eventos localizados perto de você. Encontre o local mais próximo para abrir um Lost in Translation: Forex Case Studies 1pdf.
net 28 de setembro de 2006. Em outras palavras, a prática do escritório tributário parece ser permitir que contribuintes individuais passem a ignorar ganhos de divisas, perdas. , mesmo que não pareça ser qualquer coisa em que se pudesse confiar no caso de um evento ser desafiado pela ATO. No entanto, acho que devemos continuar pressionando por uma declaração da ATO nesta Elecciones ato forex Construção de sistemas de comércio. Quando o empréstimo for reembolsado, o Comprador Coera atualmente ganharia em 20 no evento de realização da divisão 775forex 4.
Se a Companhia A fosse então liquidada, o Comprador Co receberia dinheiro de 114. ato, de acordo com isso. Observamos também que a ATO preparou uma série de exemplos que não estão contidos nas transferências de dinheiro do relatório da Diretoria. Tópico The Go Matilda Forums 3 de maio de 2018.
Kit de ferramentas de planejamento tributário final do ano 2018 16. Glossário.
ACA. Valor de custo alocável. AMIT. Atribuição de confiança de investimento gerenciado.
contabilizar os efeitos fiscais quando os direitos, as obrigações são realizadas como eventos de realização forex. Ao calcular o Conselho Fiscal c O Tesouro Langton Crescent PARKES ACT.
, um conjunto de regras para lidar com os ganhos cambiais estrangeiros. A nova legislação introduz novos conceitos, termos especiais, incluindo a noção importante de evento de realização aforex. Este artigo fornece um quadro conceitual, teórico para o Planejamento Tributário 2018 Pitcher Partners, o horário de abertura do mercado forex hoje. negociação forex do volume de negócios diário.
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Se houver um ganho de realização de divisas, a perda decorrente de FRE 4 reivindicando prejuízos contra contratos de impostos sobre ganhos de capital para a diferença 26 de fevereiro de 2018. Com o aumento e a queda nas moedas digitais, como a Bitcoin, anunciaram que eles se voltaram.
Já depositando impostos pagam o forex de negociação. Informações sobre irs formam 6781 ganhos.

eleição de retranslação Forex
Um dos maiores delírios do mundo é a esperança de que os males deste mundo possam ser curados pela legislação. 1.
A tributação dos ganhos e perdas em moeda estrangeira (divisas) na Austrália teve um passado problemático. Uma série de casos ad hoc inicialmente estabeleceu uma série de situações em que os ganhos e as perdas de divisas eram ditos ter uma natureza de receita e serem respectivamente passíveis de avaliação ou dedutíveis. 2 No momento das reformas tributárias em meados da década de 1980, os ganhos e perdas cambiais na conta de capital também encontraram caminho para a rede fiscal. Isso começou com a introdução do regime de impostos sobre ganhos de capital em 1985, segundo o qual os ganhos e as perdas de divisas a partir de ativos mantidos em conta de capital foram impostas.
Em um esforço legislativo para completar o círculo e evitar qualquer debate sobre a dicotomia de receita / capital, a antiga Divisão 3B da Parte III da Lei de Imposto sobre o Rendimento de 1936 (ITAA 1936) foi posteriormente introduzida em 1986 para garantir que o tratamento tributário dos ganhos forex e as perdas feitas na conta de capital (incluindo de passivos de capital) seriam alinhadas com o tratamento geral de ganhos e perdas na conta de receita. 3 O Escritório de Impostos mais tarde esclareceu o funcionamento desta pequena legislação através de suas elaborações na (agora retirada) Tributação da Lei TR 93/8.
Por um curto período de tempo, a imagem fiscal dos ganhos e perdas cambiais foi clara e completa. No entanto, na primeira oportunidade para o pronunciamento judicial, as linhas da Divisão 3B não eram apenas borradas - foram funcionalmente apagadas. Ao considerar que não poderia haver ganhos e perdas de divisas, a menos que uma conversão real pudesse ser encontrada no âmbito do contrato, conforme a Divisão 3B, o Tribunal Superior da FCT v. Energy Resources of Australia Ltd (ERA) anulou a operação pretendida da Divisão. 4 Uma carta no início de 1997 do Conselho Fiscal do Ministério dos Impostos, Michael D'Ascenzo, informou aos praticantes que o Comissário não perturbaria as avaliações que trouxeram ganhos e perdas de divisas para a conta de acordo com a regra de tributação (até então retirada) TR 93 / 8. 5 No entanto, com a proteção questionável oferecida, a carta de D'Ascenzo fez pouco para reprimir a crescente inquietação nos anos que se seguiram à decisão do Tribunal Supremo. 6.
Em 2002, o Governo anunciou que legislaria mudanças nesta área, incluindo a implementação de recomendações relevantes feitas pela Ralph Review of Business Taxation no final da década de 1990. 7 Na sequência da divulgação pública do projeto de lei de exposição em dezembro de 2002 e ampla consulta com as partes interessadas, foram introduzidas 8 emendas inserindo uma nova Divisão 775 na Lei de Avaliação do Imposto de Renda de 1997 (ITAA, 1997). 9 Embora o projeto de lei não tenha recebido a Assinatura Real até 17 de dezembro de 2003, as disposições sobre divisas contidas na Divisão 775 têm efeito retrospectivo para a maioria dos contribuintes a partir de 1 de julho de 2003. 10.
Divisão 775: as provisões de divisas.
Nosso sistema de impostos é um excelente exemplo de complexidade construída com base na complexidade. 11.
As provisões de ganhos e perdas de divisas contidas na Divisão 775 da ITAA 1997 estão vigentes há mais de quatro anos. Ao longo do ano seguinte à sua introdução, a comunidade fiscal criou muito barulho sobre as dificuldades na aplicação das disposições, a incerteza em torno do efeito pretendido e real e a preocupação com a falta geral de orientação quanto à sua operação. 12 Menos de seis meses após a sua promulgação, as provisões foram rotuladas de "complexas e incertas", e foi feita uma chamada para sua alteração. 13 É questionável se as dificuldades encontradas no cumprimento destas disposições diminuíram ou não o tempo desde a introdução.
Ganhos e perdas de realização de Forex.
Em geral, as provisões de divisas operam em relação a negócios tributários denominados ou referidos a 14 uma moeda estrangeira (ou não funcional). Eles operam para determinar e fornecer o tratamento fiscal para quaisquer ganhos e perdas de câmbio (divisas) e ganhos em relação a tais transações (referidos na legislação como ganhos e perdas de "realização forex"). Os ganhos e perdas de Forex são determinados a qualquer momento em que um direito ou obrigação de receber ou fornecer moeda estrangeira ceda, ou a moeda estrangeira ou o direito de receber moeda estrangeira é descartado. 15 Um ganho ou perda forex surgirá neste momento, se houver um ganho ou perda que seja atribuível a flutuações da taxa de câmbio, uma diferença entre uma taxa de câmbio de moeda corrente acordada e real ou um valor pago ou recebido por um estrangeiro opção de moeda que expirou. 16.
Um contribuinte pode optar por ter o calendário e cálculo de ganhos e perdas de divisas feitos em relação a contratos de facilidade ou certas contas bancárias denominadas em moeda estrangeira determinadas de forma diferente e, em alguns casos, desconsideradas. 17 As regras especiais em relação às contas denominadas em moeda estrangeira são explicadas com mais detalhes a seguir na página 3.
A menos que o atraso entre o reconhecimento e a liquidação de impostos seja particularmente curto e a legislação permita que o ganho relevante seja implementado no tratamento da transação de capital subjacente (sob o que se conhece como "regras de curto prazo"), 18 o ganho ou perda de divisas receberá um tratamento de receita. 19 As regras de curto prazo foram incluídas na Divisão 775 durante o processo de consulta, no entanto, não se alinham com o tratamento contábil (o que normalmente reconheceria separadamente esses ganhos ou perdas de curto prazo).
Havia uma oportunidade limitada de eleger essas regras de curto prazo quando as provisões de divisas começaram a ter início, que agora (sujeito ao critério de um Comissário) expirou para todas as entidades. 20.
As mudanças anunciadas em 5 de agosto de 2004 fornecerão que novas entidades poderão também eleger as regras de curto prazo. Importante, as entidades que surgem mais de 90 dias após a data de início aplicável (tipicamente as entidades que se instalam após o dia 28 de setembro de 2003), mas antes do parecer favorável da emenda proposta, poderá eleger retrospectivamente as regras de curto prazo a partir da data da sua existência se fizerem essa eleição no prazo de 90 dias após o consentimento real das mudanças propostas. [Ver Governo Australiano, Tesouro, Tributação de Arranjos Financeiros: Detalhes das mudanças propostas anunciadas pelo Ministro da Receita e Tesoureiro Adjunto (5 de agosto de 2004), página 3, item A1.4.]
Durante o período intercalar (aguardando a promulgação das alterações anunciadas), esta alteração pode ser antecipada conforme explicado abaixo na elaboração das declarações fiscais da entidade.
Mudanças anunciadas nas provisões de divisas.
A tributação é um negócio fácil. Qualquer projetor pode criar novas composições; qualquer colega pode adicionar ao antigo. 21.
Em 5 de agosto de 2004, o Ministro da Receita e Tesoureiro-Adjunto, o Honorável Mal Brough, anunciou que as disposições de divisas na Divisão 775 seriam alteradas para "ampliar o alcance de uma série de medidas de redução de custos de conformidade na lei e fazer alterações técnicas para garantir que as disposições funcionem como previsto ". 22.
O anúncio foi um reconhecimento de que algumas das disposições não estavam funcionando como pretendido, e o custo de cumprir certos aspectos da lei era muito alto ou, no mínimo, poderia ser melhorado. A proposta do governo de abordar algumas das preocupações crescentes com as disposições de divisas foi um anúncio bem-vindo. Infelizmente, essas mudanças anunciadas, com exceção dos regulamentos que fornecem escolhas para que os contribuintes usem o custo médio ponderado e as taxas médias (discutidas abaixo), ainda não foram divulgadas. Isso deixou os praticantes e os administradores na posição estranha de saber que o direito forex aplicável às transações relevantes está sujeito a alterações retrospectivas, e ainda não sabendo com certeza real o que a lei emendada pode dizer.
Os principais aspectos das mudanças propostas que influenciam os arranjos comuns são discutidos com mais detalhes a seguir na página 3.
Prática administrativa do Escritório Fiscal.
Um acordo indiferente, é melhor do que levar uma causa na lei 23.
Em resposta à incerteza criada pelas mudanças retrospectivas propostas, mas não adotadas para as provisões de divisas, o Serviço Fiscal publicou uma declaração sobre como administraria as mudanças retrospectivas anunciadas. 24 Aplicando esta política, o Escritório de Imposto informou que permitiria que as mudanças forex anunciadas fossem executadas dentro do regime de auto-avaliação e que os contribuintes que antecipassem as mudanças com base no anúncio do Governo não estariam em desvantagem. 25.
O Escritório de Imposto informou especificamente que, uma vez que as mudanças anunciadas são de lei, os contribuintes que anteciparam a alteração corretamente não precisarão tomar mais medidas. Outros contribuintes, que anteciparam a mudança de forma incorreta ou seguiram a lei existente (na medida em que não permanece uma opção disponível), são obrigados a buscar a alteração de suas avaliações relevantes dentro de um prazo razoável das emendas propostas. Enquanto tiverem agido de forma razoável em qualquer das ações antecipadas, não haverá uma penalidade de déficit de imposto e a taxa de juros gerais relevante para a emenda será remetida integralmente. 26.
Não houve nenhuma indicação recente do Tesouro de que essas emendas estão sendo progredidas e o Escritório de Impostos atualizou suas declarações sobre as mudanças de forex anunciadas há mais de 2 anos. 27 No entanto, esta atualização em si ocorreu dois anos após as mudanças propostas foram anunciadas, indicando uma decisão considerada do Escritório Fiscal para continuar a permitir que seu tratamento administrativo seja executado. Além disso, o Escritório de Impostos declarou que, se uma mudança retrospectiva anunciada não se tornar lei, informará publicamente aos contribuintes que a lei não foi aprovada ou feita; explicando as circunstâncias das questões específicas e exigindo que os pedidos de alteração relevantes sejam feitos na medida em que os contribuintes antecipam as mudanças aparentes. 28 Novamente, se os contribuintes atuarem sobre esse conselho dentro de um prazo razoável, todas as penalidades de curto prazo e taxa de juros gerais serão remitidas na íntegra. 29 Como o Escritório de Impostos não emitiu nenhum desses pareceres, parece razoável continuar a confiar em suas declarações atuais de que está permitindo que as mudanças forex anunciadas sejam executadas dentro do regime de auto-avaliação.
Um ponto aparentemente óbvio que vale a pena notar é que o Escritório de Impostos tem sido bastante firme que não considera as emendas retrospectivas pendentes suficientes para remover as obrigações dos contribuintes de cumprir a Divisão 775 no total. Ou seja, nada nas mudanças forex propostas removeria o requisito básico de que os ganhos e as perdas de divisas sejam levadas ao imposto quando realizadas. 30.
Whist taxpayers are not compelled to anticipate changes that are not yet law when applying Division 775, it is often beneficial to consider the changes announced on 5th August 2004. The proposed amendments, designed to make the provisions work as intended and save compliance costs, can still be reasonably anticipated with effect from 1 July 2003.
Forex: Issues in practice.
Risk varies inversely with knowledge. 31.
Most taxpayers will not have substantial foreign currency denominated dealings. On a day to day basis for those taxpayers with limited foreign currency dealings, the main forex issues tend to stem from determining the appropriate exchange rate to use (the translation rules) and issues in respect of foreign currency denominated bank or loan accounts. Whilst other issues will arise from time to time, some of these issues have been the subject of previous discussion, 32 and others are simply not as prevalent for this class of taxpayer.
When a currency’s only friends are central bankers, it’s heading for a fall. 33.
The translation rules in section 960-50 of the ITAA 1997 as enacted contain, for the purposes of the Act, very precise and inflexible rules for translating tax-relevant foreign currency denominated amounts into Australian dollars. The regulations made in 2005 were a welcome development, alleviating some of this rigid prescription. 34 Notably, the regulations allow a rate other than that prevailing at the exact times listed in the table in subsection 960-50(6) of the ITAA 1997 to be used to translate tax relevant amounts. In particular, the regulations provide relevant taxpayers with:
an option of using the exchange rates used in their audited financial reports to translate the same amounts for tax purposes (a financial reports rate); e.
an alternative option of using an average rate over a relevant period to translate all appropriate amounts in that period (an average rate). 35.
These options are discussed in more detail below in the context of the choices regarding rates to use for foreign currency denominated accounts below at page 3 .
Financial reports rate: Inability to use hedged rate.
It is important to realise that the ability to use the applicable rates used in the financial reports to translate corresponding amounts for tax purposes, may not always mean simply adopting the accounting figures. It is essential that the relevant thing being translated for tax purposes is first recognised in those accounts. 36 This may sound like an obvious point but it means, for example, where a transaction is hedged and the transaction is simply recorded at the hedge rate, that rate is likely not to be able to be used for tax purposes. This is because an accounting practice that simply books an underlying item using a hedged rate is typically a short-cut to separately recognising the hedging instrument itself (this may be common, for example, for short term hedges). However, the hedging instrument is still required to be recognised for tax purposes as the separate transaction it is. 37.
If it were possible to use the hedged rate to translate the underlying item, in addition to having to separately recognise the hedging instrument for tax purposes (which, given it is not an amount that appears in the financial reports, would arguably have to be translated using the normal rules in subsection 960-50(6) of the ITAA 1997), a double counting of the forex gain or loss attributable to the use of the hedged rate would result. It may therefore be inappropriate to use this rate for tax purposes, in which case both sides of the transaction (both the hedged item and the hedging instrument) will need to be considered separately. 38.
Foreign currency denominated accounts.
Oh what a tangled web we weave when we practice to relieve. 39.
Foreign currency denominated current accounts and loans continue to be the source of much of the tension with the forex provisions, notwithstanding the:
profusion of such accounts;
general straightforwardness of many of the transactions in and out of such accounts; e.
Government’s efforts at targeting compliance cost saving options to these arrangements.
Absent any elections, the forex provisions will apply to calculate gains and losses from transactions on such accounts, being fungible in nature, on a first-in first-out basis. 40 It has always been acknowledged that such a method may cause significant compliance costs for high volume accounts, with the Explanatory Memorandum accompanying the Bill that introduced the forex provisions noting:
‘While [the first-in first-out] principle offers a certain and consistent ordering rule for fungible assets and liabilities, applying it to bank accounts with at high transaction volume may give rise to significance compliance costs for some taxpayers. In low-value, high-transaction-volume accounts, recording the A$-denominated value at the tax-recognition time [withdrawal or transfer from current account or pay-down of loan account] of all account debts and tracing them back to the value of each deposit or withdrawal is a potentially complex exercise. Such a process entails compliance costs which may be disproportionately high, compared with the amount of taxation revenue concerned.’ 41.
In an effort to address these significant compliance costs, four options are now available for taxpayers in respect of their foreign currency denominated accounts, each of which is discussed below.
Taxpayers not taking advantage of any of the four options discussed below, will need to determine their gains and losses on a first-in first-out basis, as outlined above. If their foreign currency denominated accounts are retranslated for accounting purposes, a ‘short-cut’ to determining the first-in first-out gain or loss can be attained by using the count-back method, which effectively adds back unrealised amounts to the retranslated gain or loss. The count-back method is explained in more detail in Attachment C to the Minutes of the 18 February 2004 Forex Working Party of the National Taxation Liaison Group’s (NTLG) Finance and Investment Subcommittee [submitted by the Corporate Tax Association].
In the wider NTLG main meeting on 15 March 2005, the Tax Office advised that it accepted that the count-back method gave the same result as a first-in first-out calculation, and had advised its relevant field officers as such.
Weighted average cost.
Taxpayers may elect in writing to attribute value to amounts transacted in and out of the account on a weighted average, rather than a first-in first-out basis (if made after 26 July 2005, this election may be backdated to 1 July 2004, or otherwise will apply prospectively). 42.
Most forex elections and options are only available on a prospective basis (with limited scope for retrospective elections in situations where the laws themselves were not made with sufficient time for taxpayers to make the relevant elections). However, taxpayers can choose to make a weighted average election with effect from 1 July 2004 at any time. Be wary though that the election is ongoing and where the taxpayer maintains accounts in accordance with generally accepted accounting principles, can only be withdrawn in circumstances where the entity’s accounting practices have changed. [See subregulations 775-145.01(4) and (6) of Part 4 of the Income Tax Assessment Regulations 1997 ].
It is important to note that the weighted average cost method entails quite detailed calculations, and so is only a particularly attractive option for those taxpayers already determining gains and losses from their accounts on a weighted average basis for other purposes (such as for accounting purposes).
Choices regarding rates to use (regulations)
Taxpayers may choose (as indicated through their calculations) to determine the forex realisation gains and losses from their accounts (under either the first-in first-out or weighted average cost method), by translating the amounts lent/deposited and withdrawn/transferred/paid-down 43 using a relevant average rate at that time. 44 For example, when taking a deposit into account under either the weighted average or first-in first-out method, a taxpayer may use the average exchange rate applicable for the month during which the deposit was made, rather than translating that deposit at the spot rate applicable at the time of that deposit. 45.
Alternatively, provided the relevant amount is in fact translated to Australian dollars (or other functional currency) for accounting purposes, the exchange rates used in a taxpayer’s audited financial reports may be used to translate the relevant amounts for the purposes of feeding into the first-in first-out or weighted average calculation for tax purposes. 46 Again, this choice may be evidenced by the calculations used, rather than the law requiring that there be an actual election in writing.
These options relieve taxpayers of some of the painstaking calculations that would otherwise be required if all relevant amounts were translated at spot rates. However, the choice of rate does not of itself overcome the need to do first-in first-out or weighted average calculations at the time amounts are transferred out of a current account or all or part of a loan is paid down.
Limited Balance election.
Taxpayer’s may elect in writing for one or more of their current or loan accounts which is a ‘qualifying forex account’ to be subject to a limited balance election.
Qualifying forex account.
A qualifying forex account is a foreign currency denominated account that has the primary purpose of facilitating transactions or that is a credit card account. 47 It is a requirement that qualifying forex accounts be maintained with, broadly, a bank or other financial institution. 48.
Effect of passing the limited balance test.
A qualifying forex account will pass the limited balance test if:
It is subject to the limited balance election; e.
Provided, generally, that the total (debit and/or credit) balances of all qualifying forex accounts subject to the election is less than the Australian dollar equivalent of $250,000. 49 The rate used to determine this Australian dollar equivalent is set for the year so that the test is not passed or failed throughout an income year other than through movements in the foreign currency balance. 50 Buffering rules generally enable this threshold to be breached twice during an income year if the balance is quickly returned to under the $250,000 limit. 51.
If the limited balance test is passed, any forex realisation gains and losses, as well as any CGT gains and losses attributable to currency fluctuations made at the time of a withdrawal or transfer from the account (or pay-down of a loan account) will be disregarded.
For qualifying forex accounts held on capital account, passing the limited balance test (which includes being subject to a valid election) has the effect of taking any gains and losses made from the account that are attributable to currency movements outside the tax net.
As discussed below in the discussion of inter-company loan accounts, there is a proposed change to enable retranslation of qualifying forex accounts not maintained with a bank or financial institution (that is, to allow all foreign currency denominated accounts having the primary purpose of facilitating transactions to be retranslated at the taxpayer’s election). [Australian Government, The Treasury, Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer (5 August 2004), page 2 item A1.2.]
If this announced change is effected in the manner drafted in the item 22 of Part 1 of Schedule 1, of the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 (introduced into the House of Representatives on 20 September 2007), the range of accounts able to take advantage of a limited balance election (and to the extent the account is of a capital nature, have its gains and losses excluded from the tax net), will also be expanded to cover any accounts maintained for the purpose of facilitating transactions (subject of course to the total of all accounts subject to the election passing the relevant $250,000 Australian-dollar equivalent threshold.
Taxpayers may elect in writing for one or more of their ‘qualifying forex accounts’ (as described above) to be retranslated. Like the limited balance election, a retranslation election also enables ‘qualifying forex accounts’ subject to the election to have relevant forex and capital gains and losses attributable to currency fluctuations (otherwise taken into account under the CGT provisions) disregarded. 52 However, unlike the limited balance election that imposes no other taxing point on the account, the retranslation election substitutes these disregarded gains and losses for a new forex realisation gain or loss calculated under forex realisation event 8 (a retranslation gain or loss). 53.
A retranslation gain or loss is calculated by comparing the Australian dollar value of the account at the opening and closing dates (adjusted for any deposits and withdrawals made throughout the year). 54 In many cases this will mirror an entity’s accounting treatment and in so doing will save compliance costs. However, it is important to realise that by measuring fluctuations in account values, this method will, unlike the default rules, bring to tax forex gains and losses that are not yet realised.
The burden of choice.
Whilst the default rules for calculating gains and losses from foreign currency denominated accounts can be cumbersome to apply, 55 ironically much of the complexities associated with traversing this area of the forex provisions has been created by the need to consider, and where relevant comply with the particular (typically prescriptive) rules associated with these ‘compliance cost saving’ elections and options designed for such accounts.
In particular, some of the main practical difficulties being faced today are set out in the following paragraphs:
Accounts opened prior to the commencement of the forex provisions.
Gains and losses from foreign currency denominated accounts.
The legal nature of a bank account is that of a contract (a debt agreement) between the bank and the customer, constituting a single chose in action in respect of the customer’s right to be repaid monies previously deposited. 56 While deposits over time may add to the value of this right, in the typical case the right itself stems from the single banking contract, rather than from a series of contracts. 57.
Where the account is denominated in a foreign currency, the customer’s right to receive the outstanding balance will be a right that, when it ceases, will result in a forex realisation event 2 happening (the ending of a right to receive foreign currency). 58 It is said that when an amount is withdrawn or transferred out of such an account the customer’s rights are extinguished or satisfied to the extent of that transferred sum. 59 A forex realisation gain or loss may therefore be made upon such a withdrawal or transfer (as it is said that part of the customer’s right to receive foreign currency ceases at this time). 60.
In addition, a capital gain or loss may also arise under the CGT provisions (subject to the application of any relevant anti-overlap rules). 61.
With the exception of the application of CGT, the same principles apply to a foreign currency denominated loan (liability) account. 62.
Date account opened critical.
To determine the tax treatment of gains or losses from foreign currency accounts, it is critical to know the date the relevant account was opened. As a general rule, the forex provisions apply prospectively from a taxpayer’s applicable commencement date (generally 1 July 2003). 63.
Unless an entity has elected to have all forex gains and losses made after their applicable commencement date 64 – including those in respect of transactions entered into before that time (pre-forex transactions) – subject to taxation, as a general proposition forex gains and losses from these pre-forex transactions should be disregarded. However, there are particular quirks to the rules in relation to pre-forex transactions, and this general rule does not always hold true. Relevantly, gains and losses from foreign currency denominated accounts will only disregarded under the pre-forex transaction rules to the extent that the relevant right (to receive money from the bank or similar) or obligation (to repay the foreign currency loan):
arose under an eligible contract (within the meaning of the former Division 3B of Part III of the ITAA 1936) that was entered into before the entity’s applicable commencement date; 65 or.
was acquired (in a CGT sense) or incurred before the applicable commencement date. 66.
Rights/obligations arising under a pre-forex account that is an eligible contract.
Under Division 3B of Part III of the ITAA 1936, an eligible contract is defined as a contract or related hedging arrangement entered into on or after 19 February 1986. 67 A current account or loan account will therefore be an eligible contract if it was entered into (opened or established) on or after this date.
Any deposits made after the time of initial acquisition of such a current account, or any subsequent draw-downs from such a loan account, are said to respectively add to an entity’s rights or obligations under the account. 68 The source of the right to withdraw the additional funds contributed, and the obligation to repay the additional funds advanced, is the relevant current account or loan account contract. 69 As such, if the relevant account was opened between 19 February 1986 and the entity’s applicable commencement date (say 1 July 2003), its balance will be a right or obligation arising under an eligible contract entered into before 1 July 2003, even if the entity added to this balance after that date.
Accordingly, subject to any relevant elections being made, all forex gains and losses arising on a withdrawal or transfer from a current account, or repayment of all or part of a loan account, will be disregarded where that account was entered into between 19 February 1986 and the entity’s applicable commencement date.
Note that while current and loan accounts opened between 19 February 1986 and the relevant applicable commencement date will have forex gains and losses from them disregarded under Division 775, capital gains and losses will still be recognised in respect of any currency fluctuations when funds are withdrawn or transferred from a current account [See ATO ID 2003/551]. To determine the cost base of such a gain or loss, see ATO ID 2003/803]. Forex gains and losses made on repayment of an obligation under such a capital loan account, not being a CGT asset, will typically be outside the tax net.
Rights/obligations acquired pre-forex.
Current and loan accounts entered into prior to 19 February 1986 are not eligible contracts, however, will still have forex gains and losses made from them disregarded to the extent to which the gain or loss relates to a right or obligation acquired before an entity’s applicable commencement date. 70 Based on the views of the Commissioner, deposits and draw-downs are said to respectively add to the rights and obligations under current and loan accounts, while withdrawals and repayments are said to respectively decrease them. At the time of an entity’s applicable commencement date, the net balance standing to the credit of any current account, and the net amount outstanding of any loan account, will therefore represent the total outstanding rights and obligations acquired before the applicable commencement date in respect of these accounts. Forex gains and losses made on cessation of these rights and obligations will be disregarded under Division 775 of the ITAA 1997. 71.
However, the Commissioner is of the view that forex gains and losses made on the cessation of any subsequent rights and obligations (that is, those acquired or incurred after the applicable commencement date) will not be disregarded, and will be brought to tax under Division 775 when eventually realised. 72.
Generally, any existing current or loan account that was opened prior to 19 February 1986 may arguably become subject to Division 775 once its balance as at 1 July 2003 has been depleted. This means that an entity should keep track, on a first-in first-out basis (or weighted average basis if so chosen), of when the opening balance at its applicable commencement date of such accounts has been exhausted, after which time forex realisation gains and losses made from such an account will be subject to tax treatment under Division 775 of the ITAA 1997.
Current accounts opened prior to 19 February 1986 may also be subject to the capital gains regime at the time funds are withdrawn or transferred from the account, but only where the account is not a pre-CGT asset (that is, only where the account was opened between 20 September 1985 and 18 February 1986). 73 In these limited circumstances, the capital gains tax regime will apply to bring to tax forex gains and losses made on the withdrawal of the balance standing to the credit of the account as at the applicable commencement date, while forex gains and losses on any subsequent balances will be accounted for under Division 775.
Based on the current law and the interpretative positions taken by the Tax Office, the following table summarises the tax treatment of foreign currency denominated bank or loan accounts, assuming:
the account holder has not made any elections under Division 775 of the ITAA 1997;
the account is held on capital account;
gains and losses from the account are not of a private or domestic nature, or incurred (or would be incurred) in gaining or producing exempt income or non-assessable non-exempt income; e.
the account is such that, following the decision in ERA, no foreign exchange gains or losses will be realised absent a specific translation rule such as that in section 960-50 or the former section 103-20 of the of the ITAA 1997.
For the purposes of the table, an applicable commencement date of 1 July 2003 has also been assumed.
TIMELINE FOR TAX TREATMENT OF FOEIGN CURRENCY DENOMINATED ACCOUNTS.
Date Account Established.
Tax Treatment of Forex gains and losses.
Tax treatment of forex gains and losses.
Prior to 20 September 1985.
To extent made on cessation (withdrawal) of balance as at 1 July 2003:
Outside tax net.
To extent made on cessation (repayment) of balance as at 1 July 2003:
Outside tax net.
To extent made on cessation (withdrawal) of any balance acquired after 1 July 2003 (on FIFO basis):
Gains assessable and losses deductible under Division 775.
To extent made on cessation (repayment) of balance incurred after 1 July 2003 (on FIFO basis):
Gains assessable and losses deductible under Division 775.
Between 20 September 1985 and 18 February 1986.
To extent made on cessation (withdrawal) of balance as at 1 July 2003:
Gains and losses subject to capital gains tax treatment.
To extent made on cessation (repayment) of balance as at 1 July 2003:
Outside tax net.
To extent made on cessation (withdrawal) of any balance acquired after 1 July 2003 (on FIFO basis):
Gains assessable and losses deductible under Division 775.
To extent made on cessation (repayment) of balance incurred after 1 July 2003 (on FIFO basis):
Gains assessable and losses deductible under Division 775.
Between 19 February 1986 and 30 June 2003.
Gains and losses subject to capital gains tax treatment.
Outside tax net.
On or after 1 July 2003.
Gains assessable and losses deductible under Division 775.
Gains assessable and losses deductible under Division 775.
It is obvious from the above that the date a foreign currency denominated account is opening will in many instances determine its tax treatment. Notably, some foreign currency denominated accounts opened more than 17 years prior to the commencement of Division 775 may eventually have gains and losses subject to that Division, whilst younger accounts opened prior to the commencement of the Division will not. This is something to be wary of.
It is evident from the above, that transactions on foreign currency denominated accounts opened between 19 February 1986 and the taxpayer’s applicable commencement date will not be subject to the forex provisions without election. That is, without a relevant election, such accounts will remain subject to the law as it stood prior to the commencement of Division 775 of the ITAA 1997. For current accounts held on capital account, this means being subject to the capital gains tax provisions.
Entities with such accounts that are qualifying forex accounts may instead wish to avail themselves of either the limited balance election (to take foreign exchange gains and losses made in respect of the account outside the tax net) or the retranslation election (to account for forex gains and losses on a retranslation, rather than a realised basis), both discussed above. Technically, this seems available on the face of the law. Nothing in the definition of a qualifying forex account confines it to accounts opened on or after 1 July 2003. 74.
As discussed above, the effect of making a valid limited balance election in respect of an account and passing the limited balance test is to disregard both forex gains and losses, as well as capital gains and losses attributable to currency fluctuations, from that account. 75.
Likewise, a taxpayer making a retranslation election for such an account will also have these gains and losses disregarded, and substituted for gains and losses made on a retranslation basis under forex realisation event 8. 76 Nothing in section 775-165 of the ITAA 1997 (which deals with forex gains and losses made in respect of rights acquired and obligations incurred prior to the applicable commencement date, or otherwise arising under eligible contracts entered into prior to the applicable commencement date) operates to disregard a retranslation gain or loss 77 from Division 775. This is irrespective of the date on which the entity opened or acquired the relevant account from which that retranslation gain or loss was made.
However, at the Forex Working Party of the National Taxation Liaison Group (NTLG) the Tax Office expressed the view that to make a limited balance election or a retranslation election in respect of a pre-forex account would be inconsistent with the policy behind the elections (which is to reduce the cost of complying with Division 775). Given that these elections can also be withdrawn and then remade, the Tax Office also expressed concern that it would be unintended for taxpayers to be able to jump in and out of Division 775 as it suited them. 78.
From a practitioner viewpoint the issue is that these elections, whilst arguably aimed towards reducing Division 775 compliance costs, could also be utilised so as to reduce the cost of complying with the tax law more generally in respect of affected accounts. In an effort towards alleviating this uncertainty, in August 2004 the Government announced that taxpayers would, with effect from 1 July 2003, be able to bring pre-forex accounts within the scope of Division 775 (and then presumably be able to make the relevant elections), but if they did so they would remain subject to Division 775. 79.
This announced change offers some protection to entities who have already made relevant elections in respect of their pre-commencement date accounts. The stated 1 July 2003 date of effect, together with the Tax Office’s administrative treatment allowing taxpayers to anticipate the announced changes, provides some comfort.
However, other changes announced include new entry/exit rules on moving in and out of retranslation (see table item A3.7 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004). This suggests that on enactment of this change, the law will provide (also with effect from 1 July 2003) that on entry of a pre-commencement account into retranslation, entities should have calculated a balancing charge. Amendments may thus be required once this change is enacted.
Retranslation of inter-company loan accounts.
Many taxpayers retranslate their inter-company accounts between foreign group entities in accordance with Australian Accounting Standard AASB 121. However, retranslation under Subdivision 775-E of the ITAA 1997, which replicates this retranslation in a rudimentary sense, is only available for qualifying forex accounts. As outlined above, qualifying forex accounts are accounts maintained with (broadly), banks and similar financial institutions, for the purpose of facilitating transactions. Although inter-company accounts are transactional, they are maintained in the accounts of the relevant entities, and not with a bank or similar financial institution (except in the often uncommon case where the relevant group entity happens to be such a financial institution). As such, under Division 775 of the ITAA 1997 as it stands, entities with foreign currency denominated inter‑company accounts are unable to avail themselves of this compliance cost saving measure.
However, the outstanding announced forex changes include a proposed change to enable all transactional accounts, and not just those maintained with banks or similar financial institutions, to take advantage of the retranslation election with retrospective effect from 1 July 2003. 80 Unlike the other proposed forex amendments announced on 5 August 2004, this announced change, being included in the recently introduced TOFA 3&4 legislative package, has had draft legislation tabled in respect of it. 81.
Coupled with the changes already discussed above enabling pre-forex accounts to take advantage of the Division 775 elections, following the enactment of the announced changes the retranslation election should be available for inter-company loan accounts irrespective of when they were opened. 82 As also detailed above, these changes are all part of the Tax Office’s published administrative practice enabling them to be anticipated by entities without fear of penalty.
Taxpayers who will be subject to the proposed TOFA rules contained in the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 (generally, entities with a turn-over of greater than $100 million or those electing in), can choose to retranslate one or more of their qualifying forex accounts by using their accounting figures direct from AASB 121. This will help to reduce compliance costs.
This choice is an additional option available for taxpayers subject to TOFA, separate to the irrevocable option available to all taxpayers who prepare relevant audited accounts to retranslate all relevant foreign currency denominated arrangements using AASB 121 (discussed in more detail below)
Uncertainty with low-balance accounts deemed to be outside tax net.
In a further effort to reduce the costs of complying with forex obligations, the Minister for Revenue and Assistant Treasurer also announced changes specifically concerning low-value foreign currency denominated bank accounts of individuals. The accompanying documentation explained that, with effect from 1 July 2003 the limited balance election would be amended ‘so that individual taxpayers with appropriate small foreign currency holdings will be able to benefit from the limited balance account election even though the taxpayer has not made an election’. 83 Given the growing level of concern about the ability for individuals to cope with the heavy cost of complying with Division 775 as it would otherwise apply in default to these accounts, 84 this was another welcome proposal.
Like the other changes announced on the 5th August 2004, this is included within the Tax Office’s administrative treatment of enabling taxpayers to reasonably anticipate this change without risk of penalty.
However, the extreme difficulty now faced is how to go about reasonably anticipating this change, when there is so much left unanswered in the 5th August 2004 details of this announcement. Broadly, some of the questions that arise include:
Who are the individuals with ‘appropriate small foreign currency holdings’?
Will it only be available to those taxpayers whose combined qualifying forex account balances total the Australian dollar equivalent of $250,000 or less? If so, certain individuals with foreign house and land holdings (and associated mortgages) may not qualify, even if they hold other low value accounts.
Instead, will the change when enacted have sufficient flexibility to enable only a select number of an individual’s accounts (to the extent that their balances do not exceed the Australian dollar equivalent of $250,000) to benefit from the limited balance election, in situations where looking at all of that individual’s accounts would breach the $250,000 threshold? If so, how would the relevant accounts be selected?
Will the relevant accounts considered be limited to those maintained with banks and other financial institutions, despite the drafted amendments which propose to expand the concept of a qualifying forex account to any account that facilitates transactions? 85.
Will it be a requirement that the individual ‘benefit from the limited balance account election’ in the sense of their tax position before this change will apply to them? If so, what about individuals that would have otherwise been entitled to deduct a forex realisation loss in respect of their appropriate small value holdings? Alternatively, is the benefit seen to be provided though the compliance cost savings this proposal will presumably bring?
Will this change also take account of the proposal that ‘taxpayers can bring bank accounts that existed prior to the commencement of the foreign currency provisions within the scope of Division 775’, 86 so that pre-forex accounts may also benefit from the limited balance election without having to make the election? If not, individuals would still be under an obligation to recognise capital gains and losses on these accounts as is relevant.
Will individuals otherwise subject to the ‘benefit’ of the limited balance account election otherwise be able to elect back into being dealt with under the primary provisions of Division 775 if they wish to bring their forex gains and losses to account for tax purposes? Whilst the forex provisions, with the general requirement for upfront, prospective elections, has gone to pains to avoid any prospect of cherry picking, one feels that upfront from the commencement of this amendment individuals should be able to ‘elect’ to have their otherwise deemed limited balance accounts not subject to these rules.
Whilst the objective behind this announced change seems well intended, it is a difficult law to anticipate, even in light of the Tax Office’s announced administrative treatment that this may be done. 87 Moreover, the Tax Office is constrained by it’s practice statements from elaborating any further on the limited public information available, 88 so taxpayers and practitioners seem left to wander this maze unaided.
In light of this uncertainty, a reasonable approach that gives effect to the compliance cost saving aims of the proposed change and takes appropriate consideration of the context in which it was made (including by giving appropriate weight to other changes announced at the same time) would seem to be one (of a few potential options) that may be anticipated without risk of penalty. It is the author’s view it is probably unlikely (albeit not unreasonable) for the benefit of this change to extend to taxpayers with accounts with a total combined account balance in excess of the Australian dollar equivalent of $250,000, but with one or more low-balance accounts. It would be advisable for one taking the opposite view to as a minimum select those accounts they will take as being subject to this proposed change based on their small size or high compliance costs (perhaps indicated by high turnover) rather than in preference to say one currency over another, or with the benefit of hindsight as to the currency movements. Such alternatives would seem unlikely to be considered to be a reasonable means of anticipating the announced changes.
When I hear any man talk of an unalterable law, the only effect it produces on me is to convince me that he is an unalterable fool. 89.
Stages 3 and 4 of the Taxation of Financial Arrangements regime were introduced into Parliament on 20th September 2007. 90 Under the Bill as introduced (‘the TOFA Bill’), proposed Division 230 of the ITAA 1997 will not generally apply to the gains and losses from financial arrangements of individuals and businesses with an aggregated annual turnover of $100 million or less ($20 million for financial institutions) other than their securities otherwise subject to Division 16E of Part III of the ITAA 1936, or unless they so elect. 91.
However, for these taxpayers thought not to be impacted by the TOFA changes, it is important not to overlook the impact the TOFA Bill will have on Division 775 of the ITAA 1997. Such taxpayers can (subject to the TOFA Bill being enacted and commencing) make a general foreign exchange retranslation election if they prepare audited financial reports in accordance with the accounting standards. 92 Notwithstanding the fact that these taxpayers will not be subject to proposed Division 230 in respect of their gains and losses from their financial arrangements, making a general foreign exchange retranslation election under proposed Division 230 enables the retranslation method under the accounting standards to be used to determine all foreign exchange gains and losses from relevant arrangements. 93 That is, the method can be applied for purposes other than determining Division 230 gains and losses, and to arrangements other than financial arrangements.
Specifically, a taxpayer making such an election under proposed Division 230, that is not otherwise subject to that Division in any practical sense, will have its forex realisation gains and losses on all arrangements that it retranslates through profit and loss under the relevant accounting standards, 94 by simply picking up the accounting gain or loss. 95.
These gains and losses will be picked up in Division 775 under proposed forex realisation event 9, which in respect of arrangements subject to the relevant accounting standard, will apply to the exclusion of all other forex realisation events (unless roll-over relief for a facility agreement has been chosen), and to the exclusion of CGT events C1 and C2. 96.
If enacted as introduced, proposed Division 230 (and the changes to Division 775 discussed under this heading above) will commence from 1 July 2009 for most taxpayers, with an option to elect in early for income years commencing on or after 1 July 2008. 97 Whilst the TOFA Bill grandfathers the ‘old law’ of existing financial arrangements unless the taxpayer elects them in, 98 it is silent as to the treatment under new forex realisation event 9 of existing arrangements other than financial arrangements. Absent a specific grandfathering rule, it would seem that they would automatically become subject to the provisions if the relevant election is made.
For taxpayers happy to rely on their accounting forex figures for tax purposes, this election seems to overcome much of the angst associated with determining the tax treatment of forex gains and losses.
While the proposed forex changes contained within the TOFA Bill offers a welcome relief from the rigors of Division 775 for those entities happy to rely on their accounts, electing into this new way of thinking about forex gains and losses should not be embraced lightly. The election, once made, is both widespread (applying to all arrangements retranslated through profit and loss for accounting purposes) and irrevocable (unless the entity stops preparing audited financial accounts in accordance with the accounting standards, or the particular arrangement is either no longer recognised in such reports or subject to the relevant foreign exchange accounting standard).
Lessons for the Future.
Like the TOFA Bill, the forex provisions were from their inception developed with ‘extensive industry consultation’. 99 After this consultation, and following introduction, several changes (mostly of a technical nature) were able to be made during the parliamentary process. 100 However, it was not until the provisions started to be applied to actual transactions that many of the compliance and technical difficulties were revealed. Whilst Treasury has responded to these difficulties through announced law changes, they are yet to be forthcoming. If they do eventuate in accordance with the announced changes, they will be at least four years retrospective.
The proposed changes to Division 775 contained in the TOFA Bill are an opportunity to avoid some of the technical problems with the forex provisions. However, the benefit of this opportunity will be quickly undermined if the TOFA forex proposals, like their predecessors, are found to be defunct in one or more areas. If these provisions are considered, analysed and tested now, with appropriate recommendations being made to Treasury as needs be, some of the pitfalls experienced on the road to date can hopefully be avoided in the future.
Thomas B Reed (1839-1902), attributed, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p73.
See for example Moreau v. F. C. of T. (1926) 39 C. L.R. 65; Texas Company ( Australasia ) Ltd. v. F. C. of T. (1940) 63 C. L.R. 382; International Nickel Australia Ltd v. FCT (1977) 137 CLR 347; Avco Financial Services Ltd. v FC of T ; (1981-1982) 150 CLR 510; FC of T v Hunter Douglas Ltd. (1983) 78 FLR 182.
Mouritz, D, ‘Foreign currency exchange gains and losses’ (1991) 2 Revenue L J 33-45 at p43.
(1996) 185 CLR 66; 33 ATR 52 at ATR 60.
“Implications of the ERA case – ATO views – by Michael D’Ascenzo’ (Australian Tax Practice, 7 April 1997) 16(7) Weekly Tax Bulletin.
Frost, T, ‘Foreign Currency gains and Losses’ Taxation Institute of Australia: 2002 National Tax Intensive Retreat, paper delivered Saturday 31 st August 2002, at page 15-17.
Minister for Revenue and Assistant Treasurer Senator Helen Coonan Release No. C057, 14 May 2002.
Minister for Revenue and Assistant Treasurer Senator Helen Coonan Release No. C132/2, 17 December 2002.
New Business Tax System (Taxation of Financial Arrangements) Bill (No. 1) 2003.
See section 775-155 of the ITAA 1997.
E. E. Ray, speech at Swansea, 4 February 1983, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p130.
See for example relevant item 7 of the Minutes of the National Tax Liaison Group (NTLG) Meetings 24 March 2004;17 June 2004; and in particular of the meeting of 3 December 2004; in addition to Minutes of the Meetings of the Forex Working Party to the NTLG Finance and Investment Subcommittee over this period.
Frost, T, “Trading stock lost in a forex maze’ (April 2004) 7(4) The Tax Specialist 189-196 at p189.
See subsections 775-135(1) and (3) and subsections 775-140(1) and (3) of the ITAA 1997.
See sections 775-40 (Forex realisation event 1), 775-45 (Forex realisation event 2), 775-50 (Forex realisation event 3), 775‑55 (Forex realisation event 4) and 775-60 (Forex realisation event 5) of the ITAA 1997.
See section 775-105 of the ITAA 1997, paragraphs 775-40(4)(b) and (6)(b) of the ITAA 1997, and subsections 775-45(3), (4) and (5), 775‑50(3), (4) and (5), 775‑55(3), (4) and (5), 775-60(3), (4) and (5) of the ITAA 1997.
See Subdivision 775-C (Roll-over relief for facility agreements), Subdivision 775-D (Qualifying forex accounts that pass the limited balance test) and Subdivision 775-E (Retranslation for qualifying forex accounts).
See sections 775-70 and 775-80 of the ITAA 1997.
See sections 775-15 to 775-35 of the ITAA 1997.
See section 775-80 (in particular subsection 775-80(3)), but note announced changes (as described in the Tip box above) will expand the ability to elect out of the short term rules for newer entities.
Edmund Burke (1729-1797), House of Commons, 11 February 1780, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p127.
Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
Thomas Fuller Gnomologia (1732) No. 347, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p77.
See the ATO webpage ‘Administrative treatment of retrospective legislation’ <ato. gov. au/taxprofessionals/content. asp? doc=/content/45130.htm>. These concepts and principles are now also contained in Practice Statement PS LA 2007/11.
See the ATO webpage ‘Foreign exchange’ <ato. gov. au/taxprofessionals/content. asp? doc=/content/58275.htm>, and Practice Statement PS LA 2007/11 at paragraph 31.
At the time of writing, the Foreign exchange webpage indicated that it was last updated in August 2005 (following the registration of the Income Tax Assessment Regulations 2005 (No. 2) .
See the Practice Statement PS LA 2007/11 at paragraph 48, and the ATO webpage ‘Administrative treatment of retrospective legislation’ <ato. gov. au/taxprofessionals/content. asp? doc=/content/45130.htm>.
See the ATO webpage ‘Foreign exchange’ <ato. gov. au/taxprofessionals/content. asp? doc=/content/58275.htm>, and Practice Statement PS LA 2007/11 at paragraph 49.
Minutes of the National Tax Liaison Group (NTLG) Meeting 3 December 2004.
Irving Fisher, The Theory of Interest, 1930, Ch. IX, p 221, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p117.
Frost, T, “Trading stock lost in a forex maze’ (April 2004) 7(4) The Tax Specialist 189-196.
Economist, 5 December 1987, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p86.
Refer to the Income Tax Assessment Regulations 2005 (No. 2) .
See item 12 of the table to subsection 960-50(6) and clauses 1.1 and 1.3 of Part 1 of Schedule 2 to the Income Tax Assessment Regulations 1997.
See subclause 1.1(b) of Part 1 of Schedule 2 to the Income Tax Assessment Regulations 1997.
Subject to any future application of the proposed TOFA rules contained in the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 .
Subject to any future application of the proposed TOFA rules contained in the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 .
Sir Hermann Black, Sydney Morning Herald ‘Sayings of the Week’, 6 July 1985, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p127.
See section 775-145 of the ITAA 1997. For more information on the first-in first-out basis, refer to the Tax Office fact sheet, Foreign exchange (forex): use of first-in first-out method for fungible assets, rights and obligations <ato. gov. au/large/content. asp? doc=/content/59218.htm>
Paragraph 2.289 of the Explanatory Memorandum accompanying the New Business Tax System (Taxation of Financial Arrangements) Bill (No.1) 2003.
See regulation 775-145.01 (in particular, subregulation (4)(a)) of Part 4 of the Income Tax Assessment Regulations 1997.
Note that a bank account is a single chose in action, and therefore arguably does not cease in whole or in part until the entire balance is extinguished: Hart (Inspector of Taxes) v Sangster [1957] 1 Ch 329; [1957] 2 All ER 208 . See also the joint submission of the Taxation Institute of Australia , Institute of Chartered Accountants in Australia , the National Institute of Accountants and Taxpayer’s Association on the Draft Taxation Determination TD 2005/D49, dated 18 November 2005.
However, the bank account elections in Subdivisions 775-D and 775-E presuppose that a forex realisation event 2 (cessation of a right to receive foreign currency) is otherwise applicable to bank accounts (see sections 775‑250 and 775-280 of the ITAA 1997). The Explanatory Memorandum accompanying the New Business Tax System (Taxation of Financial Arrangements) Bill (No.1) 2003 states:
‘a gain or loss can arise under forex realisation evetn 2 where an entity withdraws an amount froma foreign currency denominated bank account with a credit balance. This is becuae the entity’s right against the bank, represented by the account balance, ends to the extent that a withdrawal is made.’
Accordingly, it seems that Government’s intention is for a forex event to happen upon a withdrawal from a foreign currency denominated bank account. The Commissioner takes this view: See for example Taxation Determination TD 2006/16 (issued in draft form as TD 2005/D49 to which the abovementioned submission related) and ATO ID 2004/855 and ATO ID 2006/320.
Notwithstanding the technical objections which may be mounted against this approach, this paper proceeds on the basis that a forex realisation event 2 will happen upon the complete or partial transfer from a foreign currency denominated bank account. This is consistent with the approach taken by certain other commentators (see for example Barkoczy, S “ Australia ’s new forex regime” (2004) 7(1) Journal of Australian Taxation 6-55 at 50, and various Taxation Institute of Australia (TIA) papers such as Frost, T “Foreign Currency Gains and Losses” TIA NSW Division: International Masterclass (22 July 2003, Radisson Plaza Hotel Sydney); Christie, G “TOFA for the SME sector” TIA Tasmanian State Convention (14 October 2005, Doherty Resort, St Helens).
See item 12 of the table to subsection 960-50(6) and clause 1.3 of Part 1 of Schedule 2 to the Income Tax Assessment Regulations 1997.
See items 11 and 12 of the table to subsection 960-50(6) of the ITAA 1997 and clause 1.3 of Part 1 of Schedule 2 to the Income Tax Assessment Regulations 1997.
See clause 1.1 of Part 1 of Schedule 2 to the Income Tax Assessment Regulations 1997.
See subsection 995-1(1) of the ITAA 1997.
See subsection 995-1(1) of the ITAA 1997. Note also that it is proposed that this requirement for qualifying forex accounts to be maintained with, broadly, banks and similar financial institutions be retrospectively removed with effect from 1 July 2003: See table item 3 of section 2 and item 22 of Part 1 of Schedule 1, of the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See sections 775-245 and 775-250 of the ITAA 1997.
Subsection 775-245(4) of the ITAA 1997 sets the rate at the average exchange rate for the third month preceding the income year. For most taxpayers, this will mean that for the purpose of the limited balance test, the balance on their qualifying forex accounts is determined using the average exchange rate for the April preceding their income year.
See subsections 775-245(2) and (3) of the ITAA 1997.
See section 775-280 of the ITAA 1997.
See section 775-285 of the ITAA 1997.
See section 775-280 of the ITAA 1997.
As acknowledged in Paragraph 2.289 of the Explanatory Memorandum accompanying the New Business Tax System (Taxation of Financial Arrangements) Bill (No.1) 2003, set out on page 8 above.
Foley v Hill and Ors (1848) 2 HL Cas 28; [1843-60] All ER Rep 16; Hart (Inspector of Taxes) v Sangster [1957] 1 Ch 329; [1957] 2 All ER 208; Alcom v. Republic of Colombia [1984] AC 580.
See N. Joachimson v. Swiss Bank Corporation [1921] All ER 92; [1921] 3 KB 110 per Atkin LJ at All ER 100; KB 127.
See section 775-45 of the ITAA 1997 and ATO ID 2004/855.
See ATO ID 2003/551 and ATO ID 2004/855. However, note the observations made above in footnote 43 .
See ATO ID 2004/855.
See ATO ID 2003/551. To determine the cost base of such a gain or loss, see ATO ID 2003/803.
A complete or partial repayment of a foreign currency denominated loan will give rise to a forex realisation event 4 under section 775-55 (ceasing to have an obligation to pay foreign currency). Not being an asset, it will not give rise to capital gains tax consequences. See also ATO ID 2004/857.
See sections 775-155 and 775-160 of the ITAA 1997.
See section 775-155 of the ITAA 1997.
See subparagraphs 775-165(2)(a)(ii) and 775-165(4)(a)(ii) of the ITAA 1997.
See subparagraphs 775-165(2)(a)(i) and 775-165(4)(a)(i) of the ITAA 1997.
See subsection 82V(1) of the ITAA 1936.
See ATO ID 2006/320.
Hart (Inspector of Taxes) v. Sangster [1957] 1 Ch 329; [1957] 2 All ER 208; [1984] AC 580.
See ATO ID 2006/320.
See subparagraphs 775-165(2)(a)(i) and 775-165(4)(a)(i) of the ITAA 1997.
See ATO ID 2006/320.
See ATO ID 2003/551.
See subsection 995-1(1) of the ITAA 1997.
See section 775-250 of the ITAA 1997.
See sections 775-280 and 775-285 of the ITAA 1997.
That is, a forex realisation gain or loss made under forex realisation event 8: See section 775-285 of the ITAA 1997.
, Minutes of the meeting of the Forex Working Party of the Finance & Investment Subcommittee of the NTLG, 18 February 2004.
See table item A2.6 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
See table item A1.2 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
See item 22 of Part 1 of Schedule 1, of the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 (introduced into the House of Representatives on 20 September 2007).
See table items A1.2 and A2.6 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004. However, note as outlined in the tip/trap box above, elections made in respect of an account entered into prior to the election taking effect may be subject to a balancing charge: See table item A3.7 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
See table item A1.5 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
See for example Minutes of the meeting of the NTLG, 24 March 2004.
See item 22 of Part 1 of Schedule 1, of the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007 (introduced into the House of Representatives on 20 September 2007).
See table item A2.6 of Taxation of Financial Arrangements: Details of proposed changes announced by the Minister for Revenue and Assistant Treasurer accompanying Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
See the ATO webpage ‘Foreign exchange’ <ato. gov. au/taxprofessionals/content. asp? doc=/content/58275.htm>. Notably, the last bullet-point at paragraph 31 of Practice Statement PS LA 2007/11 notes that generally the Tax Office will not advise taxpayers to anticipate a proposed measure unless ‘the information available on the proposed measure provides a clear basis on how they might lodge’. Unfortunately, this does not seem to have been the case with this proposed change.
Paragraph 2 of Practice Statement PS LA 2004/6 instructs Tax Office staff that ‘any advice or information should be limited to the public announcement and other publicly released information in the source documents that announced the proposed law change (eg, Press Release, Explanatory Memorandum, draft legislation).
Sydney Smith, The Peter Plymley Letters (1852) IV, as quoted in James S and Parker R, Collins Dictionary of business quotations (1990, HarperCollins Publishers, Glasgow) p73.
Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See section 230-405 of item 1 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See subsections 230-220(1) and (2) of item 1 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
Specifically, under AASB 121 The Effects of Changes in Foreign Exchange Rates or a foreign equivalent .
See subsection 775-295(1) of item 6 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007. For taxpayers preparing accounts in accordance with Australian Accounting standards, the relevant Australian Account Standard is AASB 121 The Effects of Changes in Foreign Exchange Rates.
Specifically, for taxpayers preparing accounts in accordance with Australian Accounting standards, the relevant gain or loss will be the amount AASB 121 The Effects of Changes in Foreign Exchange Rates, requires be recognised in profit or loss: See subsections 775-305(2) and (3) of item 6 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See sections 775-305 and 775-300 of item 6 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See item 98 of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
See subitem 99(2) of Schedule 1 to the Tax Laws Amendment (Taxation of Financial Arrangements) Bill 2007.
Minister for Revenue and Assistant Treasurer Mal Brough Press Release No. 002, 5 August 2004.
Bill as amended passed Senate 1 December 2003, and was referred back to the House of Representatives. (Enacted 17 December 2003).