Anti-avoidance Income tax 2015

Practical application of the new Pt IVA

Source: The Tax Specialist Journal Article

Published Date: 1 Feb 2015

 

Part IVA, the general anti-avoidance provision, of the Income Tax Assessment Act 1936 (Cth) was substantially amended in 2013 to eliminate some perceived weaknesses identified by the Australian Taxation Office in the then-existing provision. The 2013 amendments have themselves, however, raised many issues of statutory construction. The purpose of this article is to examine some of the most important issues likely to arise from the amendments, and to apply them in practice. The first part of the article provides context by way of presenting an overview of Pt IVA, and then explaining the relevant issues in detail, with reference to the decided cases. These include questions of determination of the tax benefit, statutory choice principles and purpose. The second part of the article then sets out worked examples of how Pt IVA, following the 2013 amendments, might apply to three real-world situations, namely, pre-sale dividends, share/asset sales, and funding choices.

Sorry, this is subscriber only content.

To gain access to this material and much more - Subscribe Now.

(Note: Members can access Taxation in Australia journal articles without a Tax Knowledge Exchange subscription - please log in to access).

Already a Subscriber? Login now

Already a Subscriber? Login now

Details

  • Published By: Tim Kyle
  • Published On:1 Feb 2015

The material is copyright. Apart any fair dealing for the purpose of private study, research criticism or review, as permitted under the copyright Act, no part may be reproduced by any process without written permission from The Tax Institute.

Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

The Tax Institute
(ABN 45 008 392 372 (PRV14016))

("TTI")

The Tax Institute is a Recognised Tax Agent Association (RTAA) under the Tax Agent Services Regulations 2009. 

Copyright Statement

All materials provided on this site are protected by copyright and are owned by or licensed to TTI.

Except as expressly permitted by TTI or the copyright owner, any person or company who uses this site must not use, reproduce, redistribute, retransmit, publish or otherwise transfer, or commercially exploit, the materials or any information, software or other content, in whole or in part, which is available through this site.

Tags

Anti-avoidance Income tax 2015

Share this page