Taxation

Our services are built around a clear and simple premise – to ensure taxpayers pay no more tax than they are legally obliged to pay. We know the best way through the labyrinth of tax laws, and can structure and complete transactions that are tax efficient and commercial.

Direct and to the point

In an area of law where it is easy to become diverted or lost, our tax lawyers are skilled at reaching the heart of problems quickly and resolving them.

Our experience cuts across a broad range of clients and projects, from privatisation of public utilities to assisting small business owners to minimise CGT liabilities, securing private ATO rulings, and managing elaborate international projects for major multinationals.

Depth of experience

Deacons’ team is distinguished by personnel who combine commercial experience with a comprehensive knowledge of tax law. Our team comprises a mix of experts who have joint accounting and legal qualifications, specialist accreditation, post graduate qualifications and service with the Australian Tax Office.

Our team is deeply engaged in key tax issues and our achievements are many. We have been involved in several important test cases and legal precedents, changes to the Tax Act and amendments to the GST Act. In addition, we have authored key legal materials in a number of specialist areas of tax law and are actively involved with numerous industry and professional bodies.

Commercial solutions

When legal hurdles present themselves that prevent our clients from accomplishing a business objective, we don’t simply say “not possible”. Instead we do everything to find a way over or around the hurdles so that the same business results, or better, can be achieved. Commercial and legally effective solutions ensures pragmatic and valuable resolutions to tax problems.

Handling disputes adroitly

From time to time disputes with tax authorities are unavoidable. When this occurs we have the knowledge and experience to contain the problem, respond decisively so that our clients are placed in the strongest possible position.

Expertise within expertise

Australian tax law is a massive and complex area of knowledge. While it is virtually impossible for any individual to acquire and maintain mastery across the entire field, collectively we can. Our team includes highly focused lawyers with expertise in areas such as GST, corporate tax, CGT, stamp duty, taxation of trusts and international tax. This ensures clients can obtain detailed advice on every facet of tax law, within a framework that looks at their complete tax position.

Doing business beyond Australia

The team is recognised for their ability to deliver comprehensive and commercial solutions whether in Australia or overseas. Our Australian and Asian offices regularly work together. In Australia, we represent both offshore companies on a wide range of transactions, including establishing operations in Australia, setting up joint ventures, acquiring companies and properties, and listing on the Australian Stock Exchange.

In Asia, we regularly represent Australian and other multinational companies advising them on how to develop market entry strategies, establishing joint ventures, acquiring companies and properties, and licensing technology.

Our services

Our national tax team includes lawyers experienced in all transactions and litigation aspects of taxation and revenue law including:

• international tax
• income tax
• corporate tax
• capital gains tax
• fringe benefits tax
• stamp duty
• goods and services tax
• indirect taxes and revenue imposts
• withholding taxes
• superannuation
• taxation of trusts

• Legal update: Emissions trading scheme: tax liabilities and new tax rules

  The Emissions Trading Scheme (ETS) proposed by the Government will have income tax and GST implications which will need to be addressed by those entities that are covered by the scheme.

  5 Aug 08 Stephanie Barnes

• Legal update: Public trading trust reforms: draft legislation released

  On 23 July 2008 the Government released for public comment draft legislation to reform the public trading trust rules in Division 6C of Part III of the Income Tax Assessment Act 1936. The proposed changes address a number of problematic issues in the operation of these rules.

  30 Jul 08 Peter Norman

• Legal update: Changes to the off-the-plan and refurbished lots duty concessions

  The Victorian government has moved to simplify the administration of the off-the plan and refurbished lots duty concessions. The changes should reduce the cost and administrative burden on developers. However, the new record keeping requirements and the imposition of joint & several liability will need to be carefully managed by developers.

  30 Jul 08 Andrew Spalding

• Legal update: The Same Business Test Gets Tougher

  When acquiring a company that is conducting a business, purchasers should pay careful attention to the structure of the acquisition to ensure that any prior year losses of the business will be available. In this Federal Court case, Stone J upheld the Commissioner’s denial of a deduction for Lilyvale Hotel Pty Ltd (Lilyvale) for carry forward losses from its business operating a hotel. Stone J held that Lilyvale failed the same business test on the date 100% of its shares were acquired by Reco Harbour Grand Pte Ltd (Reco). An important fact influencing the decision was that prior to the share sale the hotel was operated by ANA Enterprises Australia Pty Ltd (Enterprises) under a management agreement with Lilyvale - and this management agreement was terminated on completion of the share sale.

  29 Jul 08 Peter Norman , Anna Wilson

• Deacons in the press: Contentious GST ruling overturned

  Property developers will be relieved of paying higher GST bills after a controversial Federal Court decision on a Melbourne apartment project was overturned, reports the Australian Financial Review, 30 June 2008.

  30 Jun 08 David Stavropoulos , Kate Alexander

• Legal update: Margin scheme calm restored

  The Full Federal Court handed down a decision (Brady King Pty Ltd v Commissioner of Taxation [2008] FCAFC 118) on 26 June 2008 which, to the relief of property developers, restored the longstanding practice of the Australian Taxation Office on the application of the margin scheme.

  30 Jun 08 David Stavropoulos , Angela Zhang

• Deacons in the press: Goal posts move again for developers

  David Stavropoulos, Deacons tax law partner, writes an opinion piece for PropertyReview.com.au, 20 May 2008, citing the "changes to the way the margin scheme operates on the sale of real property announced with the Federal Budget will cause problems for developers who are buying or have bought land under a GST-free or non-taxable supply".

  6 Jun 08 David Stavropoulos , Mary-Anne Webb

• Deacons in the press: Living away from home has its benefits

  Andrew Spalding, Deacons tax senior associate comments on the tax benefits that living away from home allowances provide employees and their use as an effective tool for employers to "attract and retain staff" from interstate or overseas, reports the Australian Financial Review, 28 May 2008.

  28 May 08 Andrew Spalding , Mary-Anne Webb

• Legal update: GST backflip on forfeited deposits

  The High Court has held that GST is payable by a vendor registered for GST on a forfeited deposit under a standard land contract that has been rescinded. The judgement overturns the contrary decision by the Full Federal Court.

  26 May 08 David Stavropoulos , Anna Wilson

• Deacons in the press: GST change may trip developers

  David Stavropoulos, Deacons law partner, said there may be "an incentive to buy or sell property" before federal budget changes become law, reported the Australian Financial Review, 20 May 2008.

  23 May 08 David Stavropoulos , Mary-Anne Webb