A busy holiday period

The ability of interested stakeholders to participate in the development of new tax laws and the oversight of key aspects of the operation of the Tax Office is vitally important. It is therefore unfortunate that the timetables for consultation on so many current issues have straddled the Christmas and New Year holiday period.

The following consultations are currently in progress:

These consultations are in addition to the preparation of 2012-13 year Federal pre-budget submissions with a due date of 27 January 2012 and the ongoing analysis of draft taxation rulings and determinations which occur regularly during the year.

The proposed changes to the taxation laws which are the subject of current consultation are all of great significance to many taxpayers, with the review of the taxing of trusts being arguably the most important in recent times. Further, the review of benchmarking by the Inspector General of Taxation is directed at the fundamental question of whether the Tax Office is acting fairly and equitably in its assessment of small business operators who conduct cash businesses. The outcome of the Inspector’s work may have a significant impact on the way the Tax Office approach their task of ensuring compliance within the small business sector.

It is common that the month from mid-December to mid-January is a period of business closure or at least significantly reduced business activity, including for those professional organisations which would typically be making submissions such as those currently being canvassed. In these circumstances there is a vastly reduced period of time available for organisations preparing submissions to complete their work. It would be a regrettable outcome if this diminished the quality of submissions lodged.