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  • » Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

#51 2017-03-01 10:37:50

goldpelican
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps


My posts on Silver Stackers are either personal opinion or acting in the capacity of site administrator. Opinions offered do not constitute professional or financial advice.

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#52 2017-03-01 16:20:20

Bullion Baron
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

"We've introduced a voluntary reverse-charge mechanism and released a new tax determination on second-hand goods [scrap gold] that seems to be reverting refund arrangements in relation to the gold industry back to the kinds of levels that we've seen earlier, rather than in this most recent period," he said.

Has anyone seen a link to the new tax determination?

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#53 2017-03-01 19:18:11

goldpelican
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps


My posts on Silver Stackers are either personal opinion or acting in the capacity of site administrator. Opinions offered do not constitute professional or financial advice.

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#54 2017-03-01 19:33:13

Bullion Baron
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

Looks likely, thanks that is interesting reading.

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#55 2017-03-01 19:40:44

SilverDJ
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From: Australia
Registered: 2014-11-01
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

Wow, is there a TLDR?

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#56 2017-03-01 19:43:25

Bullion Baron
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

SilverDJ wrote:

Wow, is there a TLDR?

lol try this:

C53rw6EWgAUt327.jpg

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#57 2017-03-01 22:56:44

sbc
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Registered: 2015-10-14
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

The "draft" seems silly to me. A lot of the work seems to be placed on small business. Jewellers etc a lot of onus is on them to determine the intrinsic value of goods. If a jeweller buys something as something they believe they can sell as a piece but after X amount of days, years months are unable to sell it and the item is scrapped do they go then to claim an input tax credit? GST is goods and service tax, a service is provided by the person purchasing the jewellery, the time taken to clean and make it saleable. This system seems very out of touch with the industry, the easier solution would have been to put a blanket GST on bullion products.

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#58 2017-03-02 01:27:08

Bullion Baron
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

sbc wrote:

This system seems very out of touch with the industry, the easier solution would have been to put a blanket GST on bullion products.

How would it be reasonable to charge GST on an investment asset? Would it be reasonable then to introduce GST on the full purchase price of shares and property?

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#59 2017-04-01 22:59:57

Bullion Baron
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

Be careful where you park your money (unallocated, orders without immediate delivery, etc), things could get messy within Oz gold industry.

The Australian Taxation Office is preparing to go to war with companies- involved in alleged complex gold scams that have cost taxpayers more than $700 million in lost GST revenues, pledging to leave "no stone unturned" as it seeks to claw back funds and unravel- the long-running saga.

After announcing a crackdown on the multi-billion-dollar gold industry- in December that has changed how it pays GST refunds, the ATO is now moving to recover almost $1 billion from refiners and suppliers it believes were involved in the practice.

Eight cases are being prepared for the Director of Commonwealth Prosecutions, with 11 -people facing criminal charges. Six other groups have been referred to the Serious Financial Crime Taskforce for further investigation, including- three syndicates, refiners and gold bullion dealers.

Some syndicates are believed to have links to outlaw motorcycle gangs.

ATO deputy commissioner Tim Dyce told The Australian the agency was confident the rampant GST scam had been stopped, and was determined to recover funds owed to the government.

"We have stopped the problem. Now it is just mopping up the past, but we are not just going to shrug our shoulders and walk away," he said. "If people have obtained refunds- that they are not entitled to, we will raise assessments and we will pursue the money."

http://www.theaustralian.com.au/nationa … 0f660899df

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#60 2017-04-05 18:56:02

Bullion Baron
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From: Adelaide
Registered: 2009-09-14
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Re: Bullion Baron: Australia's Bullion GST Fraud Still Under Wraps

Information collected by tax investigators, who are attempting to claw back revenues owed to the commonwealth, show the scam included daylight trading of multi-million-dollar amounts of gold in public parks across Australia.

In one case, a tradesman in his twenties told investigators he had started a business of buying and selling gold because he had collected 4kg of scrap jewellery during his lifetime and then decided to buy more from a person he met on the internet.

The pair then met every week in a park in inner-western Sydney. After buying millions of dollars worth of gold, the man would melt it down at home to sell on to gold traders.

In another case, a man in his twenties on "minimal income" claimed to investigators he had a lucky find, when 8kg of hidden gold bullion and scrap turned up in the house he had inherited from his father.

He then melted the gold bullion with scrap gold he claimed was bought "from a person he met whilst walking down a main road in Sydney".

A student, with no reported -income, was found by the tax -office to have transacted $16m in scrap gold sales in just 16 days.

http://www.theaustralian.com.au/news/na … 2cc0598654

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