The money is in the timing

Background With cashflow more important than ever for businesses within the construction industry, it is crucial to plan ahead to determine the best approach to recover money owed to you under your construction contract.   There are various forums which can be considered, whether that be commercial negotiation, litigation, arbitration, the statutory demand process under the …

Fast tracking the road to recovery

Background From 1 July 2020, local councils will be able to access funding to support delivery of priority local road and community infrastructure projects, under the ‘LRCI Program’. Local Roads and Community Infrastructure Program As part of the Federal Government’s $1.8 billion boost for road and community projects through local governments across Australia, on 22 …

Reopening businesses post COVID-19 – lease considerations for landlords and tenants (commercial and retail)

The easing of lockdown restrictions in all states and territories across Australia is seeing a gradual return to the workplace, both in commercial office buildings, and retail shopping centres. As landlords, building managers and tenants prepare for this, it is undeniable that how leases will be negotiated and administered has changed forever. Legislative changes The …

The environmental impacts of COVID-19 recovery

The planning system has been identified as having a critical role to play in supporting the economy during this time. To ensure that the planning system is able to adapt to the challenges presented by COVID-19, a number of amendments have been made to planning legislation in each jurisdiction in an effort to stimulate economic …

Managing a health crisis from an HR perspective

COVID-19 has been a steep learning curve for those within the HR industry. The key focus of protecting the health and wellbeing of our employees, clients and visitors has remained paramount. However, the challenge for HR teams is to manage both the health and wellbeing of employees, whilst also managing the economic crisis faced by …

Managing M&A valuation issues in the era of COVID-19

The COVID-19 pandemic has had a profound impact on businesses, both immediate and in terms of their long-term outlook. Whilst hospitality, retail and travel businesses have suffered obvious and acute impacts, there are hidden complexities in the valuation of longer-term assets in the infrastructure, property and agribusiness sectors. Tech-focused company valuations have risen sharply, as …

Motivating and incentivising employees in a downturn

There is no question that the COVID-19 pandemic is placing unprecedented stress on businesses.  With many businesses having to stand down employees, request that their staff take a reduction in salary, or simply looking to conserve cash, offering equity incentives in the current environment might sound counter-intuitive.  However, cash strapped companies seeking to reward, motivate …

COVID-19: The deed can now be done, electronically!

The High Level What are the changes? Documents (including deeds) can now be signed and witnessed electronically. Who do they apply to? Individuals and companies. When do they apply? Now, until 31 December 2020. Background On 15 May 2020, Queensland passed new temporary regulations that modify the requirements for the making and use of documents …

Workers not entitled to use paid sick leave during stand down

In a significant decision, the Federal Court has determined that Qantas Airways does not need to allow its stood down workers access to paid personal/carer’s leave or compassionate leave during the period of stand down.  The decision by Justice Flick clarifies the obligations of employers and the rights of thousands of other stood down workers …

Section 100A and professional practice profit distribution – a timely reminder

Although COVID-19 stimulus measures have consumed so much time and attention for virtually all tax advisers, the financial year is rapidly drawing to a close, and many tax agents are finalising returns for the 2019 financial year. One issue that continues to vex tax practitioners is that of trust distributions – particularly in light of …

New Commercial Leasing Code of Conduct – have you considered GST treatment?

When finalising agreements with tenants pursuant to the new Commercial Leasing Code of Conduct (Code), landlords should properly consider the potential GST treatment of the agreement and ensure that any deferral of reduction of rent will operate as intended from a GST perspective.   Under the Code, landlords of tenants whose business has been significantly affected …

Practical applications of the JobKeeper stimulus measures

The JobKeeper scheme is not only unprecedented in its size and application, but also unique in the speed in which it was rolled out.  Treasury and the ATO must be praised for the incredible amount of work they undertook in such a short time to release this material.  There is no doubt that a great …

Year end tax planning in a pandemic: this year’s top 10 “must-dos”

In a relatively short period of time, COVID-19 has changed many things – from the way we interact with each other to the way we do business.  Whilst year end tax planning is always an important focus, a number of COVID-19 induced factors means that your year end tax planning for this financial year will …

Navigating the murky waters of dispute resolution amid COVID-19: Is arbitration the answer?

Despite some tentative and positive steps recently, the impact of COVID-19 will continue to be felt widely with new legal and regulatory measures impacting the way in which all businesses operate.  As our previous updates have described, this impact is also being felt by courts across Australia with many adopting temporary changes to their operations in …

Debt recovery during COVID-19

In addition to its overall negative impact on the Australian economy, the COVID-19 crisis has also seen opportunistic individuals disingenuously attempting to rely on the current environment to avoid their legal obligations in circumstances which do not genuinely warrant them doing so.   This type of conduct has in part been facilitated by the unprecedented …

Sign here… or insert signature here

Temporary changes for electronic execution of documents, and further updates for virtual and hybrid meetings The high level What has changed? Documents can temporarily be signed under the Corporations Act electronically. Who does it apply to? Companies only. When does it apply? Now, until 5 November 2020. The detail On Tuesday, 5 May 2020, the …

COVID-19: FIRB provides further guidance

It has been a big few weeks in the foreign investment space, particularly in light of the drastic changes to the Foreign Investment Review Board (FIRB) regime announced by the Treasurer on 29 March 2020. As set out in our previous alerts on this issue (which you can find here and here), the changes imposed …

COVID-19: Managing liability in planning a resumption of business operations

On Friday, 8 May 2020, the Commonwealth Government announced a three-step plan for the easing of COVID-19 related restrictions. Each of these stages will, subject to the ongoing application of social distancing restrictions and State and Territory requirements, permit businesses in different industries to resume operations, with some of the first businesses to open being …

Changes to convening and holding creditor’s meetings

Corporations (Coronavirus Economic Response Determination) No. 1 2020 On 5 May 2020, Treasurer Josh Frydenberg announced changes to the Corporations Act 2001 (Cth) (Corporations Act) and related legislation that allows for companies to have entirely virtual meetings and to issue electronic notice of meetings.  The changes have been made to give companies, responsible entities, external …

IP Australia introduces new streamlined extension of time requests in response to COVID-19 disruptions

In response to the current COVID-19 pandemic and its impact on businesses operating in Australia, IP Australia has introduced a streamlined extension of time request process to assist customers who have been adversely impacted by COVID-19.  Up until at least 31 May 2020 rights holders and applicants can apply for extensions of time for up …

Residential tenancy changes in Queensland during the COVID-19 pandemic

WHO SHOULD READ THIS Landlords and tenants of residential properties in Queensland. Particularly where a tenant is suffering financial hardship because of COVID-19. WHAT YOU NEED TO KNOW Queensland Parliament have passed the COVID-19 Emergency Response Act 2020, which amends the Residential Tenancies and Rooming Accommodation Act 2008 (Act) and allows regulations to be made …

The Court v COVID-19

In response to the COVID-19 pandemic, like many other Courts, the NSW Land and Environment Court (LEC) has released a new policy. The ‘COVID-19 Pandemic Arrangements Policy’ (COVID-19 Policy), which commenced on 23 March 2020, provides alternative arrangements that seek to address some of the challenges presented by the new social distancing restrictions, whilst still …

COVID-19 FIRB changes enacted into law

The dramatic changes announced by Treasurer Josh Frydenberg on 29 March 2020 to Australia’s foreign investment regime, in response to the economic upheaval caused by the COVID‑19 pandemic, have become law.  As set out in our previous alert on these issues (which you can find here, the announced changes reduce all of the relevant monetary screening …

JobKeeper summary

The Federal Government has introduced the JobKeeper scheme to assist employers to keep their employees on during the COVID-19 outbreak despite its economic consequences. In short, the scheme entitles eligible entities who have suffered a specified substantial decline in turnover to a payment of $1,500 per fortnight (before tax) for salary or wages paid to …

Opportunistic fraud by employees and officers during COVID-19

It is axiomatic that the risk of fraud increases in challenging economic times.  Approximately 75% of all frauds perpetuated within a business are committed by its own employees or officers.   Fraud Employees or officers may be inflating or falsifying a company’s financial results or their own productivity in order to appease shareholders, secure financing …

Copyright Agency to provide an additional $375,000 in funding to Australian artists and writers, with more funding to follow

Summary In response to the unfolding COVID-19 pandemic, the Copyright Agency has announced $375,000 in additional funding to support writers, artists and to move arts projects, festivals and events online.  The Copyright Agency will also bring forward to the first quarter of the next financial year $1.8 million worth of grants under the Copyright Agency …

COVID-19, demands for payment and the Australian Consumer Law

The social isolation and social distancing policies implemented by various levels of Australian governments have had direct impacts on the ability of both customers and suppliers to perform under their contracts.  For instance, venues are now unable to open at all, or are unable to accommodate large crowds, and equally, customers are unable to travel.  …

Allegiant IRS continues to monitor the latest developments of the evolving COVID-19 situation

We recommend that consideration is given to urgently reviewing your current insurance arrangements as it is essential that cover is updated in conjunction with changes in risk profile. Immediate considerations: ISR policy wording review to determine if there is potential for making a Business Interruption claim. Review of policy coverage and/or sub-limits on the ISR …

COVID-19: urgent update for the building and construction sector – border closures and FIFO workers

The impact of COVID-19 continues to be felt across the construction industry with new legal and regulatory measures impacting contractual obligations, the availability of labour, project financing and supply chain reliability. This article addresses the key changes around State border closures and how this impacts upon FIFO and DIDO workers in particular. Border closures in …