Draft leg: Government’s response to the review of the TPB – further info
In relation to yesterday’s report [Mon 22 November 2022] that the Government is seeking stakeholders’ views on exposure draft legislation on recommendations of the review into the effectiveness of the Tax Practitioners Board (TPB) and Tax Agent Services Act 2009 (TASA), the specific recommendations on which the Government is seeking consultation are as follows:

  • Recommendation 2.1 – amend the object clause of the TASA to make it more contemporary and better aligned with the TPB’s role and responsibilities.
  • Recommendation 3.1 – enhance the TPB’s financial independence by establishing a Special Account.
  • Recommendation 4.6 – amending the TASA to strengthen the disclosure requirements to require tax practitioners to not employ or use disqualified entities in the provision of tax agent services without approval from the TPB.
  • Recommendation 4.7 – converting the 3-year registration cycle to annual registration to align with the TPB’s administrative annual declaration process.
  • Recommendation 5.1 – amending the TASA to give the relevant Minister the power to supplement the TASA’s Code of Professional Conduct (the Code) to address emerging or existing behaviours and practices.

Interested parties are invited to comment on this consultation by 11 December 2022.

ATO: When a loan from a company will trigger Div 7A
The ATO has released general information on when a loan from a private company may be treated as a Div 7A deemed dividend and included in the borrower’s assessable income. Note: Div 7A is intended to prevent profits or assets being provided to shareholders or their associates tax free.

NSW land tax: General information in preparation for the 2023 year
Revenue NSW has provided some key information which may be useful in preparation for the 2023 land tax year. The Land Tax Rates for 2023 are: General rate – $100 plus 1.6 per cent of land value above the threshold, up to the premium rate; Premium rate: $ plus 2 per cent of land value above the threshold. The Tax Thresholds for 2023 are: General threshold $969,000; Premium threshold $5,925,000. Note also that the 2023 Land Tax Notice of Assessments will be sent from Wednesday 4th January 2023 through to mid-February 2023.