Over the last 12 months, cross-border transactions have continued to come under increasing scrutiny on multiple fronts:
- while the OECD has continued working to devise solutions to address base erosion and profit shifting, Australia has introduced new laws, and is proposing to introduce further laws, targeting multinational tax avoidance
- new administrative regimes have commenced, with a focus on tax transparency and which provide the Commissioner with greater powers for the collection of tax on cross-border transactions
- the Australian Taxation Office has undertaken, and is currently undertaking, several significant audits in relation to transfer pricing and profit shifting, with the potential for litigation
- some states have introduced additional imposts on foreign purchasers and owners of interests in Australian land
- The High Court of Australia has been giving substantive consideration to the concept of 'central management and control' for the first time in over 40 years!
This event presented perspectives on these important developments from senior representatives from private practice, the ATO and the Victorian Bar.