Tax Issues

Fortunately, I remembered this omission prior to my emailing/mailing this letter. I have now included the following passage before distributing it: "...I believe there needs to be special provisions put in place to handle these type of situations in much the same way as those that exist for natural disasters that occur. After all, whilst this has not been an act of nature, it is a man-made disaster of epic proportions where the consequences are just as severe as any the Almighty could conjure up! Whilst on the subject of the Almighty, it has come down from on high that the ATO intends to levy a capital gains tax on any compensation that is forthcoming! Has this Government lost it senses altogether? Does it intend to put the boot in whilst the elderly are down on their  knees? Correct me if I’m wrong but compensation (if it ever comes) will be awarded to former Storm investors for the losses they have suffered at the hands of banking institutions that have broken the law? How does anyone then make the leap from "loss" to "gain" in such circumstances? Capital gains, indeed! The whole idea is preposterous! I think you will agree that it’s time for commonsense to prevail and some understanding be shown by those that your Government has appointed to administer the Taxation Office. If the word ‘compensation” offends the ATO’s sensibilities, pluck it out! Change the term “compensation” to something else that does not incur tax. After all, you and your colleagues have the final say! When all is said and done, you run this country, not the Banks or the Tax Department. But then again, I could be wrong!

Mark my words! If the elderly are taxed in this instance on monies returned to them, this Government does not in our eyes merit re- election. We, and I'm not just referring to Helen and I, certainly won't be voting it back in! It’s as simple as that!" [End of extract] 

I feel that we need to get this issue of taxing us on any compensation we may receive out of the way now! Not later when the wheels will have been set in motion! We need to continuously keep up the pressure on the Tax Man in this regard. 

If Julia Gillard and her ministers can't do something in this regard, who the Hell can? Bin Laden is dead so he can't help us. Perhaps we should take our case to the International Court of Justice in The Hague because this is the only body that this government seems to pay heed to these days.