Capital vs Income

Published on 28 Nov 02 by WESTERN AUSTRALIAN DIVISION, THE TAX INSTITUTE

This seminar paper covers topics inluding:
- The mere realization v isolated business border - where does the border lie now?
- What tests do the Courts apply to determine whether a receipt is capital or income?
- Subdivision, limited development and sale after Whitfords Beach
- Some common problems putting income tax and CGT together - where are the gaps and the double-counting problems?
- Tax accounting for property developments - how do the CGT and income tax rules differ?
- Problems with taxing undissected receipts - what happens when income and capital are mixed, and what happens when two kinds of capital receipt are mixed?
- Gains and losses on liabilities - what does Orica really mean for my clients?

Author profiles

Prof Graeme Cooper FTI

Graeme Cooper, FTI, is an Emeritus Professor at Sydney University Law School and consultant to Herbert Smith Freehills. He is a former Chair of the New South Wales State Council of The Tax Institute and former member of the National Council. He has worked as a consultant to the ATO, Treasury, Board of Taxation, United Nations, OECD, World Bank, the International Monetary Fund and several foreign governments. He was admitted to legal practice in New South Wales and Victoria, and practised commercial law and tax in Sydney before entering teaching. He has taught in law schools in Australia, Europe, Canada and the United States, and holds degrees from the University of Sydney, University of Illinois and Columbia University, New York. - Current at 18 July 2023

More by Graeme S COOPER

• The curious reform of foreign source income - 01-August-2018
• The new s 974‑80 – more obscure than ever - 01-December-2017
• Part IVA - With small business slant paper - 01-May-2014
• Seeing the bigger picture - 01-June-2013
• Implementing an allowance for corporate equity - 01-April-2012
• The Part IVA deluge paper - 19-May-2011
• Removing funds from a company - some of the hidden dangers paper - 10-August-2007
• Getting wealth out of companies paper - 03-May-2007
• The emerging High Court jurisprudence on Part IVA - 01-June-2006
• Part IVA - a post-Hart report card paper - 19-March-2005
• The Position of Losses in Australian tax History - 27-November-2003
• Why GST is not a Consumption Tax - and why it matters seminar paper - 10-October-2003
• Unwanted Company? CGT and Dividend Issues on Exiting Private Companies seminar paper - 12-September-2003
• Capital vs Income: Case Studies - 28-November-2002
• Capital versus income - 18-October-2002
• Structures for business and investment - 17-May-2002
• Capital vs income dichotomy - 02-May-2002
• How well does TVM express the current income tax base? - 01-July-2001
• CGT Update - Changes in Ownership - 09-September-1999
• Rulings - 05-August-1999
• Review of Final Legislation - 03-August-1999
• CGT the case study way: goodwill and rollovers - 24-March-1999

Click here to expand/collapse more articles by Graeme S COOPER.

Rob O'CONNOR

More by Rob O'CONNOR

• The distinction between capital and income receipts - 29-August-2002
• Part IVA - Taxpayer Triumph! - 07-June-2001
• Proposal to amend anti-avoidance rules: part IVA - 01-August-2000
• Commentary on Paper by Chris Bevan on Part IVA Amendments - 21-June-2000
• Steele's case - the saga continues ... : a synopsis of the High Court decision - 01-April-1999
• Steele's Case: a Synopsis of the High Court Decision - 24-March-1999
• Steele's case - a synopsis of the High Court decision - 19-March-1999
• Steele's case - the saga continues ... a synopsis of the High Court decision - 18-March-1999
• Tax aspects - 11-June-1998
• Deductibility of interest in development projects - Steele v Commissioner of Taxation - 28-May-1997
• Practical issues: settling audits and contesting assessments - 19-March-1997
• Forgiveness of commercial debt seminar paper - 14-November-1996

Click here to expand/collapse more articles by Rob O'CONNOR.