Allocation of professional firm profits: part 2
Source: Taxation In Australia Journal Article
Published Date: 1 May 2022
Part 1 of this article was prefaced with the longstanding dichotomy between income derived from property and income derived from an individual's personal services. This formed the background leading to the Commissioner of Taxation issuing PCG 2021/4, concerned with professional firm profits possibly being insufficiently attributed to practitioners whose personal efforts contributed to the derivation of the profit. Part 1 went on to cover when an affected taxpayer qualifies to rely on PCG 2021/4, and their situation when they don't. In part 2, we move on to PCG 2021/4's risk assessment framework, the scoring system, and the transitional arrangements with suspended guidelines from 2015. All of this leads into how we can assist clients in the applicable industries (and ourselves) to make key decisions that will determine whether they will be in the crosshairs of this targeting system for ATO compliance reviews.
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
Details
- Published By: David Montani
- Published On:1 May 2022
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
Share this page