Australia Moves Up Software-Tax Compliance Guidance to January

Australian authorities expect to issue guidance in January, sooner than previously expected, on their compliance approach to taxation of companies’ software sales and development payments.

The Australian Taxation Office said the draft practical compliance guidance, which had previously been expected in February, is aimed at helping taxpayers understand where the office is likely to apply its compliance resources in that area. The ATO plans to hold a public consultation on the guidance once it’s issued.

• The guidance deals with compliance with a January 2024 draft ruling on when companies’ payments to bring software into Australia will be treated as royalties ...