Tax practitioners are constantly facing questions regarding the tax treatment of foreign exchange gains and losses. Despite considerable reform in 2003 the foreign exchange rules still remain a mystery to many advisers. This presentation considers, through a series of case studies, commonly encountered problem areas concerning foreign exchange gains and losses. Topics covered include:
- tax v accounting
- pre-Division 775 transactions
- announced but unenacted changes
- issues with bank accounts
- impact of TOFA.