Pitcher Partners Advisors Proprietary Limited ACN 052 920 206 Level 13, 664 Collins Street Docklands, VIC 3008 Postal address GPO Box 5193 Melbourne, VIC 3001
Ref: AMK:lg
+61 3 8610 5000 pitcher.com.au
31 January 2025
Anthony Pulvirenti Australian Taxation Office GPO Box 9997 MELBOURNE VIC 3001 By Email: Anthony.Pulvirenti@ato.gov.au Dear Anthony TD 2024/D3 1.
Thank you for the opportunity to provide comments on Draft Taxation Determination TD 2024/D3 (“TD 2024/D3”) in relation to the application of section 109U of the Income Tax Assessment Act 1936 (Cth) (“ITAA 36”)1.
2.
Pitcher Partners specialises in advising taxpayers in what is commonly referred to as the middle market. Accordingly, we service many taxpayers that would be impacted by the ATO’s release of public guidance on section 109U.
3.
We highlight that for the purposes of Division 30 of the Tax Agent Services Act 2009 (Cth) (“TASA 2009”) and, in particular, the amendments made to the Code of Conduct by the Tax Agent Services (Code of Professional Conduct) Determination 2024 , all of the comments made in this submission are directly relevant to us as a firm and our clients. While this may result in a conflict of interest for the purposes of section 20 of the Determination, we highlight that we have tried to ensure that our comments and suggestions contained in this submission are balanced and consistent with the policy principles and intention of the rules as we understand them.
Correctness of view 4.
We do not agree with the ATO’s interpretation of section 109U as contained in TD 2024/D3.
5.
Contrary to paragraph 18 of TD 2024/D3, we are of the view that the second reference to private company in subparagraph 109U(1)(c)(ii) is a reference to the private
1
All legislative references in this document are to ITAA 36 unless stated otherwise.
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