The Australian Taxation Office finalised the rules for reporting foreign exchange gains and losses in Local File – Part A in the second year of reporting, after considering the feedback from consultation in 2017.
Special reporting rules apply to International related party dealings (IRPDs) involving deferred foreign currency payment arrangements for the following kinds of local file transaction categories:
Category of Arrangement | Conditions to fall in Category | Special Reporting Rules |
Regular short term deferred foreign currency payment arrangements |
|
|
Irregular or longer term deferred foreign currency payment arrangements |
Either:
|
|
FX gains and losses in other scenarios |
Any IRP transaction/RAS in the following Transaction categories or Transaction category groupings:
|
|
* RAS: Relevant Agreement Series in accordance with the Local File – Part B: Guidance on providing International Related Party agreements.
If the SGE’s accounting records do not produce the separate amount of FX gains or losses for the relevant IRP transaction/RAS for Australian income tax, then the amount is to be reasonably determined based on either:
Australian government will further the consultation with significant global entities (SGEs) in the banking sector to figure out whether there is a need for any special reporting rules for SGEs in the regulated banking sector.
Sources: ATO
With the fast growth of China’s economy and the continuous improvement of the comprehensive strength of domestic enterprises, as well as the implementation of the “One Belt, One Road” policy, an increasing amount of Chinese enterprises are beginning to expand their global footprint and establish their presence in Europe.
Introduction 下载手册
Download Leaflet
TPA Global has developed a practical roadmap of 6 steps meant to guide CFOs in their Journey of rising above troubles to reach a situation of full control. These steps are presented in a series of short video clips (3-5 minutes):