No recent issue has aroused the interest of tax practitioners as much as the ATO's new approach to Service Trusts. This paper critically considers the ATO's recently published views and consider whether in fact anything has changed!
- Phillips case - why it prevailed
- can the Commissioner now say 'how much a taxpayer ought to spend in obtaining his income'?
- is the Ronpibon/Cecils Bros principle dead?
- 'aggressive' service trust arrangements In the light of Phillips case and Part IVA
- are service trusts still effective asset protection strategies?
- does the ATO booklet on service trusts require transfer pricing principles to be applied when determining deductibility?
This was also presented on 15 October 2005 at the Tasmanian State Convention in St Helens.