Action against fraudulent phoenix activity, Business Law and Ethics

Assignment Help:

In the paper Action against Fraudulent Phoenix Activity: Proposals Paper, Treasury made a range of recommendations to amend director's liability provisions and taxation law.

Recommendations made by the proposal paper included:

-  removing the ability of directors engaged in fraudulent phoenix activity to avoid personal liability for PAYG(W) liabilities by placing the company into administration or liquidating the company

-  ensuring the promoter penalty regime is able to target those individuals promoting fraudulent phoenix activity

-  providing the Commission of Taxation with the discretion to require a company to provide an appropriate bond (supported by sufficient penalties) where it is reasonable to expect that the company would be unable to meet its tax obligations and/or engage in fraudulent phoenix activity

-  making directors personally liable for the debts of a liquidated company in circumstances where a 'new' company adopts the same or similar names as its previous incarnation

-  adopting the doctrine of inadequate capitalisation and allow the corporate veil to be lifted where a company sets up a subsidiary with insufficient capital to meet the debts that it could be reasonably expected to incur.


Related Discussions:- Action against fraudulent phoenix activity

Case law - statutory provisions, CASE LAW:    The aforesaid statutory ...

CASE LAW:    The aforesaid statutory provisions for the protection of minorities have been supplemented by judicial intervention in a variety of cases which are generally expl

Firm name - partnership law, Firm Name - Partnership Law Lawfully ...

Firm Name - Partnership Law Lawfully the firm name is simply a convenient way about alluding to the existing partners.  However an authority to lend to a firm does not aut

Statutes of general application - subsidiary legislation, Statutes of Gener...

Statutes of General Application: Whereas there is no authoritative definition of a "statute of simple application" the phrase is presumed to refer to those statutes that appli

Law of employment, Unique Vespa Couriers Pty Ltd ('UVC') is a courier compa...

Unique Vespa Couriers Pty Ltd ('UVC') is a courier company operating in the Melbourne metropolitan area.  Where most courier companies used bicycle couriers, UVC used vespas.  They

Societies - unincorporated associations, Societies - Unincorporated Associa...

Societies - Unincorporated Associations However these types of associations are registered under the Societies Act 1968.  Section 2(1) of the Act justify a society very broa

Period within which the dismissal itself must be effected, QUESTION 1 O...

QUESTION 1 One of the main ingredients of a system of collective bargaining is the right to join and participate in the activities of a trade union. What is the extent of this

Compulsory winding up, Compulsory winding up: At the hearing other cre...

Compulsory winding up: At the hearing other creditors of the company may oppose the petition.  If so, the court is likely to decide in favour of those to whom the larger amoun

Describe the evolution of health and safety legislation, Question 1: Mr...

Question 1: Mr Ben is the director of ABC Ltd. He wishes to know whether he has any responsibility under the OSHA regarding the presence of the following in his enterprise:

Working of state jurisdiction, Working of State jurisdiction State juri...

Working of State jurisdiction State jurisdiction concerns essentially the extent of each State's right to regulate conduct or consequences of events. A state has the competence

What was the state responsibility, Normal 0 false false fal...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd