28 February 2012
In this week’s Tax highlights:
- Petroleum resource rent tax: The Full Federal Court has held in the Esso Australia Resources Pty Ltd case that a payment to make available to the taxpayer trained personnel, equipment, and facilities (including overhead expenses plus a 7.5% mark-up) to enable the conducting of petroleum exploration, production and marketing operations in Australia and on the continental shelf, as well as a payment for the right to use a company’s intellectual property and research to assist the taxpayer in carrying on its business, were not deductible under the Petroleum Resource Rent Tax Assessment Act 1987.
- Tax incentives for the shipping industry: Exposure draft legislation has been released to give effect to the tax reforms announced by the Government during the Federal election campaign in August 2010 as part of the reforms for the shipping industry. The proposed amendments would provide a number of tax incentives for shipping operators.
- Fringe benefits tax: With the fringe benefits tax year ending on 31 March, the Australian Taxation Office (ATO) has released instructions to assist taxpayers to complete their annual FBT return.
Plus we provide our synopsis of the latest tax-related cases, legislative developments, announcements, ATO information and releases, and international tax developments.