& Events

01 Jul 2016

UPDATE Draft Taxation Ruling TR 2014: Income tax - Employee Remuneration Trusts

By John Day

Draft Taxation Ruling TR 2014/D1 Income tax: Employee Remuneration Trusts was published on 5 March 2014, and explains the Commissioner’s preliminary views on the taxation consequences for employers, trustees and employees who participate in employee remuneration trust arrangements established by an employer as a means of delivering benefits to employees via a trust.


The intention of draft ruling was to clarify ambiguous or grey areas of the law, primarily to ensure ERT’s are implemented and administrated in accordance with the law.


Comments received when TR 2014/D1 was issued, have been considered. Given the nature and range of the comments received, a second draft version of TR 2014/D1 is expected to be issued towards the middle of the 2016 calendar year.


The ATO has prepared a discussion paper, intended to facilitate further consultation in relation to particular aspects of the views in TR 2014/D1, and to clarify the scope of the second draft.


The ATO is seeking written feedback on the Draft Discussion Paper.For more information, please contact John Day on 03 9650 6599.