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

Contract in relation to business, Conrad put an advertisement in a newspape...

Conrad put an advertisement in a newspaper on 19 November offering to sell his motor boat for $35,000. On 21 November, Joe rang Conrad and said he was prepared to pay $30,000 for t

State the policies of convergence, State the policies of convergence Ex...

State the policies of convergence Explained here in the simplest case with assumption that there is full representation of voters; information is symmetric and single peaked pr

Compliance conference , Can general jurisdiction be obtained? Explain why/w...

Can general jurisdiction be obtained? Explain why/why not.  The Company has paid for three (3) trips for Patty to attend Prop 65 conferences in CA.  You discover that she did no

Legal differences between a custodian and managing trustee, QUESTION 1 ...

QUESTION 1 Discuss the possible defences available to a trustee in proceedings for breach of trust QUESTION 2 Consider the legal differences between a custodian and a m

Disadvantages of entrepreneurship development , Disadvantages of Entreprene...

Disadvantages of Entrepreneurship Development You will be your own boss and the boss of other people and make the decisions that are crucial to the business' success or fa

Problem question in law, how do i answer a problem question in law about th...

how do i answer a problem question in law about the law of contract

Trading arrangements, Trading arrangements: From this statement, it ca...

Trading arrangements: From this statement, it can be inferred that, if a court held that a company acted in a particular instance as an agent of its holding company, the veil

Explain the limitations to the economic rights, Question 1: (a) Expliqu...

Question 1: (a) Expliquez les conditions qui doivent être réunis pour la formation d'un contrat. (b) Expliquez les differentes modes selon lesquels un contrat peut prendre

The acts of non-state actor, The acts of non-state actor More important...

The acts of non-state actor More importantly, the concept of non-state actor needs be discussed by the concept of state responsibility, that is to say how and to what extent a

State about the underlying process - law institutions, State about the unde...

State about the underlying process - Law institutions The underlying process forms the basis of our next subtitle. The first point is, that if an optimal policy has been adopt

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