BDO Kendalls September 2008
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Gary Martin
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Welcome to Tax News

Welcome to the September edition of BDO Kendalls' Tax News. This month we highlight a number of recent decisions and take a look at the new Australia/Japan tax treaty, the 2008-09 Compliance Program, and an upcoming review of the Australian taxation system.
Review of taxation system commences

In the 2008-09 Budget, the Government announced a comprehensive review of the Australian Taxation System. Read more
New Australia/Japan tax treaty


The International Tax Agreements Amendment Bill (No. 1) 2008 was recently introduced into Parliament and contains a modernised tax treaty between Australia and Japan.
Read more
Guidance on dividend exemptions

The ATO has issued two Tax Determinations dealing with the exemption from tax of certain dividends paid by a non resident to a resident company Read more
Company reinstated for Part IVA

The Federal Court has ordered that a company should have its registration reinstated so that the Commissioner could make a Part IVA determination against the company Read more
2008-09 Compliance Program
The Commissioner of Taxation recently released the ATO’s 2008-09 Compliance Program. The publication of the Compliance Program is part of the ATO’s policy of a more open and transparent Read more
Tax Design Review Panel

In February this year, the Government established a Tax Design Review Panel to examine ways to reduce delays in the enactment of tax legislation Read more
Issuing shares for assets/services

The Commissioner has released Taxation Ruling TR 2008/5, which deals with the tax consequences for companies of issuing shares in return for the acquisition of assets Read more
'Climate Ready Grants' program


The ‘Climate Ready’ program is a competitive based grants program delivered by AusIndustry. It aims to encourage growth and successful innovation in the development and commercialisation of clean, green technologies in Australia by increasing the level of R&D, proof of concept and early stage commercialisation by Australian business.

Under this program, applications are assessed and ranked by Innovation Australia which then provides the ranking to the Climate Ready Program Delegate (who may then approve grant funding).

The Climate Ready program is a $75 million initiative of the Government and applications for the grants have recently opened. The grants can range from $50,000 to $5 million on a matching funding basis for the development of innovative products, processes or services. Applications will be assessed on the following conditions:
  • management capability; 
  • project commercial potential; 
  • project technical strength; 
  • project national benefit; and 
  • impact of funding on project outcomes.

BDO comment
The aim of this program is to enhance Australia’s competitiveness internationally in relation to innovation and climate change. It is seeking to do this by supporting and working with innovative businesses to develop clean and green technologies to address climate change.

BDO has experience in dealing with AusIndustry grants programs and the expertise to assist businesses in applying for all types of grants and Government assistance, including the new Climate Ready program. Readers who are considering whether they are eligible for a grant under this new program should contact their local BDO adviser to ensure that any grant entitlement is maximised.

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