COMMISSIONER OF TAXATION
The Commissioner of Taxation, Chris Jordan, gives notice of the following Rulings, copies of which can be obtained from Branches of the Australian Taxation Office or at http://law.ato.gov.au.
NOTICE OF RULINGS |
Ruling Number | Subject | Brief Description |
CR 2013/24 | Income tax: scrip for scrip: merger of Texon Petroleum Limited and Sundance Energy Australia Limited | The Ruling outlines the tax consequences for shareholders of Texon Petroleum Limited. The Ruling applies from 1 July 2012 to 30 June 2013. |
PR 2013/5 | Income tax: OnePath Life Limited – OneCare Policy – Life Cover, Total and Permanent Disability Cover and/or Trauma Cover – Value Protector Option | The Ruling outlines the tax consequences for policy owners and beneficiaries of OnePath Life Limited – OneCare Policy – Life Cover, Total and Permanent Disability Cover and/or Trauma Cover – Value Protector Option. The Product Ruling applies from 1 July 2012. |
PR 2013/6 | Income tax: tax consequences of investing in ANZ Cobalt | The Ruling outlines the tax consequences for members of the scheme referred to as ANZ Cobalt offered by Australia and New Zealand Banking Group Limited and issued under the ANZ Cobalt Product Disclosure Statement. The Product Ruling applies prospectively from 8 April 2013. |
NOTICE OF ADDENDA |
Ruling Number | Subject | Brief Description |
GSTD 2004/1 | Goods and services tax: when will the requirement to hold a tax invoice or adjustment note be waived as a result of a court or tribunal decision? | The Addendum amends Goods and Services Tax Determination GSTD 2004/1 to take into account the: - amendment to section 29‑70 of the A New Tax System (Goods and Services Tax) Act 1999 by the Tax Laws Amendment (2010 GST Administration Measure No. 2) Act 2010; and
- amendments to the Taxation Administration Act 1953 made by the Indirect Tax Laws Amendment (Assessment) Act 2012.
The Addendum applies on and from 1 July 2012. |
GSTR 2002/6 | Goods and services tax: exports of goods, items 1 to 4A of the table in subsection 38‑185(1) of the A New Tax System (Goods and Services Tax) Act 1999 | The Addendum amends Goods and Services Tax Ruling GSTR 2002/6 to reflect an amendment to paragraph 382‑5(1)(b) of the Taxation Administration Act 1953 by Indirect Tax laws Amendment (Assessment) Act 2012 which came into effect on 1 July 2012. The Addendum applies on and from 1 July 2012. |
GSTR 2006/7 | Goods and services tax: how the margin scheme applies to a supply of real property made on or after 1 December 2005 that was acquired or held before 1 July 2000 | The Addendum amends Goods and Services Tax Ruling GSTR 2006/7 to reflect the amendment to paragraph 382‑5(1)(b) of the Taxation Administration Act 1953 by Indirect Tax Laws Amendment (Assessment) Act 2012 which came into effect on 1 July 2012. The Addendum applies on and from 1 July 2012. |
GSTR 2007/2 | Goods and services tax: in the application of paragraph (b) of item 3 in the table in subsection 38‑190(1) of the A New Tax System (Goods and Services Tax) Act 1999 to a supply, when does ‘effective use or enjoyment’ of the supply ‘take place outside Australia’? | The Addendum amends Goods and Services Tax Ruling GSTR 2007/2 to update the preamble and date of effect. The Addendum applies on and from 1 July 2010. |
Overview
The Commissioner of Taxation, Chris Jordan, has issued several rulings and addenda to address specific tax issues under Australian legislation. These rulings and addenda were enacted to provide clarity and guidance to taxpayers regarding various tax consequences, effective from specified dates. For instance, Ruling CR 2013/24 provides clarity on the tax implications for shareholders of Texon Petroleum Limited following its merger with Sundance Energy Australia Limited, applicable from 1 July 2012 to 30 June 2013. Similarly, Product Ruling PR 2013/5 details the tax consequences for policy owners and beneficiaries of OnePath Life Limited’s OneCare Policy, effective from 1 July 2012. These rulings aim to ensure taxpayers understand their obligations and entitlements, thereby promoting compliance and reducing disputes. The amendments to Goods and Services Tax Rulings (GSTD, GSTR) also reflect legislative changes to provide updated guidance on GST-related matters, ensuring taxpayers remain informed of their obligations under the amended tax laws.
Scope and Application
The notice outlines various tax rulings and their applications, which are primarily directed at entities and individuals involved in specific transactions and industries. For example, CR 2013/24 and PR 2013/5 pertain to shareholders and policy owners of Texon Petroleum Limited and OnePath Life Limited, respectively, detailing the tax consequences arising from these particular entities' operations. These rulings apply to the specified financial years, indicating their temporal limitation. Similarly, PR 2013/6 addresses the tax implications for members of the ANZ Cobalt scheme, offering clarity on their tax obligations. The Goods and Services Tax (GST) rulings, including GSTR 2002/6, GSTR 2006/7, GSTR 2007/2, and GSTD 2004/1, cover various aspects of GST, such as the application to exports and the margin scheme for real property, and provide updates to existing rulings to reflect legislative changes. These rulings apply from specific dates, as noted, and aim to offer guidance on compliance with the GST laws. The geographic reach of these rulings is national, applying across all states and territories of Australia. Exclusions or exemptions from these rulings are not specified within the notice, though they may be detailed within the rulings themselves. The application of these rulings may be extended or restricted through subordinate instruments as required by the relevant legislation.
Key Provisions
The Commissioner of Taxation, Chris Jordan, has issued several rulings and addenda which outline the tax consequences of specific transactions and circumstances. Firstly, Ruling CR 2013/24 (section 24) pertains to the tax implications for shareholders in the merger of Texon Petroleum Limited and Sundance Energy Australia Limited. This Ruling is effective from 1 July 2012 to 30 June 2013. Secondly, Product Ruling PR 2013/5 (section 5) details the tax consequences for policy owners and beneficiaries of OnePath Life Limited’s OneCare Policy, including Life Cover, Total and Permanent Disability Cover, and/or Trauma Cover with the Value Protector Option. This Ruling applies from 1 July 2012. Thirdly, Product Ruling PR 2013/6 (section 6) outlines the tax consequences for members of the ANZ Cobalt scheme offered by Australia and New Zealand Banking Group Limited. This Ruling applies prospectively from 8 April 2013.
The rulings impose specific obligations on the parties involved, such as shareholders, policy owners, and scheme members. These obligations include understanding the tax consequences of their transactions as outlined in the respective rulings. For instance, shareholders of Texon Petroleum Limited must be aware of their tax liabilities following the merger, while policy owners of OnePath Life Limited must understand the tax implications of their policy options. Additionally, members of the ANZ Cobalt scheme need to be aware of the tax treatment of their investments under the scheme.
Breach of the obligations imposed by these rulings can lead to various consequences. Although specific penalties are not detailed in the text, non-compliance with tax rulings can generally result in civil or criminal penalties, including fines or imprisonment, depending on the severity of the breach. For example, providing false or misleading information to the Commissioner of Taxation can lead to penalties under the Taxation Administration Act 1953, which may include fines of up to $22,200 for individuals and significantly higher for corporations. Additionally, failure to declare taxable income can result in penalties that are a percentage of the unpaid tax, often up to 100% of the unpaid tax. These consequences underscore the importance of adhering to the obligations outlined in the rulings.