ATO Red Flags - Tax Risk Power Pair

This Power Pair comprises 2 of our most popular taxation webinars from the past few months.

Webinar 1: PSI, Part IVA and the ATO’s New Risk Framework: What Accountants Need to Fix Now

The ATO has finalised its new compliance approach to personal services income (PSI) arrangements, and the message for advisers is clear. Passing the personal services business (PSB) tests does not prevent Part IVA from applying where income is split or profits are retained in a way the ATO considers tax-driven. This practical webinar explains the ATO’s risk framework under PCG 2025/5, clarifies what the ATO now regards as low-risk and higher-risk PSI arrangements, and outlines what accountants should be doing now to review client structures and transition higher-risk arrangements ahead of 30 June 2027. It covers:

• When Part IVA can apply to PSI arrangements
• The ATO’s risk framework under PCG 2025/5
• Low-risk vs higher-risk PSI arrangements
• Income splitting and associate payments
• Retaining PSI profits in companies and trusts
• Remuneration that is “commensurate” with services
• The ATO’s published PSI examples
• How materiality affects ATO compliance action
• Transitioning higher-risk arrangements by 30 June 2027

Webinar 2: Family Trust Elections: Are Yours a Ticking Tax Bomb?

Family trust and interposed entity elections can unlock major tax advantages, but those benefits can quickly unravel if the elections aren’t carefully monitored or are made unnecessarily. With the ATO ramping up reviews and issuing unexpected family trust distribution tax assessments, it’s clear these elections are no longer a low-risk strategy. This session explores how once-beneficial elections can lead to harsh tax outcomes, and what you can do about it. Topics include:

• Why you would make family trust or interposed entity elections and why, regardless of the short term benefits, you may decide not to
• Why family trust and interposed entity elections aren't “set and forget” strategies
• Are interposed entity elections being made when they don't have to be?
• The family trust and interposed entity election issues in practice that:
  • the ATO are targeting in their reviews and audits
  • are causing inadvertent family trust distribution tax assessmentsare within time limits to take action to minimise any tax damage 
• How entities can be within the “Family group” in one financial year but not the next
• How election decisions are influenced by a trust being either a discretionary or unit trust
• Tips and strategies to avoid family trust and interposed entity election issues, when:
  • a test individual dies
  • an entity that is the subject of an interposed entity election is being sold
• A checklist of “down the track” issues to be mindful of when deciding to make the elections for shorter term tax benefits

SPECIAL PURCHASE OFFER – EOFY SALE

This pair of recorded webinars would usually cost $539, but as part of TEN’s EOFY sale you can buy the pair for only $330 if you order by 30.6.26.