Income Tax Point-in-Time Service Updates

The Income Tax Point-in-Time Service has been updated to include the Taxation Administration Amendment (Updating the List of Exchange of Information Countries No. 2) Regulations 2021 (Cth).

Taxation Administration Amendment (Updating the List of Exchange of Information Countries No. 2) Regulations 2021

The the Regulations amend section 34 of the Taxation Administration Regulations 2017 to add Armenia, Cabo Verde, Kenya, Mongolia, Montenegro, and Oman to the list of information exchange countries for the purposes of subsection 12-385(4) of Schedule 1 to the Act.

Exchange of information (EOI) is the process by which jurisdictions share taxpayer information to promote international tax transparency and safeguard against offshore tax avoidance and evasion. Under section 12-385 of Schedule 1 to the Act, recipients of fund payments with an address or place of payment in an information exchange country are eligible to access the reduced Managed Investment Trust (MIT) withholding tax rate of 15 per cent on certain distributions, instead of the default rate of 30 per cent. Fund payments made by a Clean Building MIT are subject to a withholding rate of 10 per cent where the recipient’s address or place for payment is in an information exchange country.

These amendments have been updated in the Point-in-Time Income Tax Service current to 14 October 2021 (NB: subscription required).

If you are not already a subscriber to this or other Point-in-Time Services then please contact us to find out more or to take a free trial.