Law Council of Australia

Business Law Section

Practical Compliance Guideline PCG 2021/D2: Allocation of professional firm profits – ATO compliance approach

The submission to the Australian Taxation Office in response to the draft PCG 2021/D2 Allocation of professional firm profits – ATO compliance approach (the draft PCG) was prepared by the Taxation Committee of the Business Law Section.

The committee understands that the Commissioner has concerns in relation to particular arrangements or aspects of arrangements associated with the generation of business income. The committee supports the ATO’s efforts to identify and address those arrangements that the ATO considers are inconsistent with the existing law.

However, the committee does not consider that the draft PCG achieves this, for the reasons which follow, and considers that the draft PCG should not be finalised in its current form.
 

Last Updated on 10/05/2021

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