Assessable income essentials

Distinction between ordinary income, statutory income, exempt

income and Non-Assessable Non-Exempt Income (NANE)
Source rules applying to various types of income
Calculation of assessable income for both residents and
non-residents.
Deductions essentials
Positive and negative limbs of the general deduction provision
under section 8-1
General and specic deductions
When an expense/outgoing has been incurred for income
tax purposes
Timing rules that apply to the tax deductibility of certain
prepaid expenditure.
Employment taxes essentials
General operation of the key taxes on employment
Overview of the PAYG withholding system
The FBT provisions, including the main requirements for FBT
to apply, calculation of the FBT provisions and the key exemptions
and concessions
Employer obligations with respect to reportable FBT
Australian compulsory superannuation, including the superannuation
guarantee charge.
Tax administration and compliance essentials
Self-assessment process
Amendment process
Objection and appeal process
Examination/audit process
Penalties and interest charges
Prosecutions
Tax audit risk management.
Capital allowances essentials
General operation of the capital allowance provisions
Requirements for a depreciation deduction or immediate write-off
Calculating the cost of depreciating assets
Assessing the effective life of depreciating assets
Prime cost and diminishing value methods
Balancing adjustment events
Pooling of depreciating assets
Capital works.
Trading stock essentials
Basic operation of Division 70
Tax accounting, including valuation of trading stock
Tax consequences buying and selling trading stock
Disposal of trading stock outside the ordinary course of business
Common issues surrounding the trading stock provisions.
Taxation of companies essentials
Different types of corporate structures for income tax purposes
Income taxation of companies
Company tax losses
Dividend imputation
Dividend 7A.
Taxation of partnerships essentials
Tax law partnerships and general law partnerships
Formation of a partnership
Dealings in partnership interests
Contributions to a partnership
GST considerations
CGT considerations.
charteredaccountants.com.au/onsite
Onsite Training Special Topics
Taxation
Introductory
January to June 2014
1
Earn
CPE hour
for each topic
The Institute of Chartered Accountants Australia (Institute) is pleased to offer the following Special Topics Taxation,
available from January to June 2014. Whether you need to train new recruits or those seeking a refresher, the Institute
provides interactive sessions covering the Australian tax fundamentals and principles, including income tax, CGT,
FBT and GST. We also offer informative and highly practical sessions pitched at an intermediate and advanced level,
reecting current Australian tax issues, changes and essential developments.
Presented by the Institutes expert tax trainers at your premises, you can ensure your entire team understands the
various key areas of tax and stays informed on the latest developments in this complex and ever-changing area
without leaving the ofce.
Case studies
This year, the Institute is also pleased to offer new case study based sessions where a realistic client scenario will be
analysed to provide attendees with a practical understanding of a particular topic.
charteredaccountants.com.au/onsite
Onsite Training Special Topics
Taxation
Introductory (continued)
GST essentials
When does GST apply?
When is GST payable by an entity?
When can an Input Tax Credit (ITC) be claimed?
The concepts of supply, taxable supply, input taxed supply, GST-free
supply, creditable acquisition, ITC and reduced ITC
Accounting for GST
Requirements for tax invoices
GST groups
Interaction with other taxes, such as FBT.
Australian international tax essentials
Residency of individuals, trusts and companies
Source of income
The basic operation of Double Tax Agreements (DTA)
Australias foreign accruals tax rules and other developments
Exemption for non-portfolio dividends and branch income
Other exemptions and concessions
Foreign Income Tax Offset (FITO) rules
Dividend, interest and royalty withholding taxes.
Taxation of superannuation essentials
Complying and non-complying funds
Taxation of superannuation entities
Concessions for complying superannuation funds and contributions
Access and taxation of benets
Superannuation and marriage breakdown
Reporting requirements
Recent developments and proposed changes.
CGT essentials
Is there a CGT asset?
When was the asset acquired?
Is there a CGT event?
Does an exemption apply?
What are the capital proceeds?
Do capital proceeds exceed cost base?
Calculation issues.
January to June 2014
January
Employees moving within Australia
Level:

Living Away From Home Allowance (LAFHA)
rules, including transitional provisions
LAFHA versus relocation versus travelling
for work
Other FBT concessions available
Documentation and substantiation
requirements.
February
Hot tax issues for fnancing
Level:

Capital management (hybrid instruments
and section 254T dividends)
Cross-border nancing issues
Living with TOFA
Financing issues associated with mergers
and acquisitions (M&A)
Returns of capital
ATO rulings and publications.
Trust streaming case study
Level:

This advanced hands-on case study
will consider the following scenarios:
Streaming franked dividends and
capital gains
Streaming capital gains in loss years
What can go wrong when attempting
to stream.
March
FBT compliance
Level:

Identify, calculate and disclose common FBT
items in the 2014 FBT return, including:
Cars
Loans
Expense payments
Entertainment
FBT exempt items (e.g., laptops and PDAs)
In-house benets.
The technical paper will also include notes
on other categories of fringe benets.
Salary packaging case study
Level:

This hands-on case study will consider
salary packaging for common items,
such as:
Cars
Loans
Expense payments
Car parking
Entertainment
FBT exempt items (e.g., laptops
and PDAs)
In-house benets
Superannuation contributions.
All legislative changes will be
considered, as well as ATO rulings and
ATO announcements.
charteredaccountants.com.au/onsite
Onsite Training Special Topics
Taxation
Intermediate and Advanced
Legend:
Intermediate
Advanced
Case Study
January to June 2014
April
GST issues in the property industry
Level:

Residential property
New residential premises
When does the enterprise begin?
Getting the rst ITC claim back ATO delays
Commercial residential premises
GST Margin Scheme
Going concern
Division 129 adjustments
Division 135 adjustments.
Revenue vs capital case study
learnings from August v FCT
Level:
This practical case study will consider:
Capital account or prot-making
undertaking
Relevant case law
What went wrong?
Practical implications
Potential planning for the decision.
May
Year-end tax planning*
Level:

Key tax developments for the 2014
income tax year
Tax planning opportunities
Key provisions that may change or
commence from 1 July 2014.
*Depending on the date of training, the materials may not
incorporate the 2014-15 Federal Budget tax announcements.
Trustee reporting case study
Level:
This comprehensive case study will
consider:
Income of the trust estate
Denition of income in the
trust deed, accounting revenue
statements, taxable income and
relevant disclosures on the trust tax
return
TR 2012/D1 and the trust tax return
form instructions
Trustee reporting
What is a Closely Held Trust for
trustee reporting purposes?
Trustee TFN reporting and
withholding
Trustee beneciary reporting (TBR)
When TBR rules apply
Trustee beneciary non-disclosure
tax
Trustee beneciary statements in
the tax return
What amounts are reported?
Untaxed share of net income
Tax preferred amounts.
Relevant disclosures on the trust tax
return form will also be discussed.
June
Winding up entities
Level:

Winding up a company, vesting a trust
and terminating/dissolving a partnership
Distributions and the character of
distributions
Application of the CGT provisions,
and strategies to maximise the small
business CGT concessions
Trust resettlements
Available roll-overs
Tax treatment of costs of a wind-up
Documentation (ASIC, etc).
Tax risk management case study
learnings from Symond v Gadens
Lawyers
Level:

This hands-on case study will consider:
Clarifying client objectives
Risk prole of clients
What is reasonable care?
What is a reasonably arguable
position?
Due diligence and risk assessments for
new engagements
The importance of documentation.
Legend:
Intermediate
Advanced
Case Study
charteredaccountants.com.au/onsite
0813-31
Please note: the above outlines may be subject to change
Onsite Training Special Topics
Taxation (continued)
Intermediate and Advanced
January to June 2014