The Taxpayer Editorials

The closing date for submissions to the Cooper Review - Phase 3: Structure - has now passed. This phase of the review includes self managed superannuation funds (SMSFs). The Cooper Review is welcomed and current activities might reasonably be described as ‘fact finding', however some of the questions raised by Cooper in relation to SMSFs warrant close attention, even at this early stage of the process.

Australia's tax laws contain some generous concessions, not the least of which are the small business CGT concessions, the availability of which might result in 100% of the gain arising on the sale of a business being tax-free (the 15-year exemption) or, perhaps, a gain of up to $1,000,000 being tax-free from the sale of a husband and wife owned business asset (the retirement exemption).

The new regulatory regime which will govern the relationship between tax agents and their clients commences on 1 March 2010 when the Tax Agent Services Act 2009 (TASA) becomes operative.

For many years Taxpayers Australia personnel have devoted considerable time and effort to what might be broadly described as ‘member representation'. It is important that members are aware of the work done by Taxpayers Australia in representing their interests. In this regard, we have implemented a number of initiatives to ensure that Taxpayers Australia activities are visible, and that the substance of representations to government, Treasury and the Tax Office are clear.

Welcome to the first edition of The Taxpayer for 2010; I trust readers have had a happy and relaxing festive season and are now ready to face the challenges of the new year.

In this final edition of The Taxpayer for 2009 it is appropriate to review the events of what has been a momentous year for Taxpayers Australia. During November 2008, a strategic plan for the organisation, covering the period 2009-2013, was adopted and implementation is underway. During the year we have gained the services of a number of high quality technical staff, in both the tax and technology areas, which is a vital element in setting a strong foundation from which to implement the strategy over the plan period.

Taxpayers Australia recently received a visit from Mr Bjorn Tarras-Wahlberg, the Secretary General of the World Taxpayers Associations of which Taxpayers Australia Inc is a founding member. The member associations number more than fifty and operate in some jurisdictions which, at first glance, may seem surprising such as Armenia, China, Kazakhstan and Uganda.

In late October 2009 the Henry Review floated into the public domain the observation that they were considering a recommendation which would free approximately six million Australians from the obligation to lodge an income tax return.

We are nearing the end of the so-called "root and branch" examination of the taxation system with the Henry Review due to report to government by December 2009. During the course of the review there have been numerous public comments by both members of the Review team and parties making submissions, many of those comments involving superannuation related issues.

In an era when change seems to occur with amazing rapidity, we believe it is vital to be aware of the views of our membership. With this in mind, Taxpayers Australia recently surveyed members with a view to updating our tax policies so that they reflect the environment within which we currently operate.