Australia
Interest-free related party loans under ATO scrutiny

By Sharon Grice on 02/06/25 - Mins to read: 4 minutes

PCG 2017/4 and Final Schedule 3 – interest-free loans between related parties In the current economic environment, marked by increased regulatory scrutiny and a renewed global focus on base erosion and profit shifting (BEPS), cross-border related party financing remains a key area of compliance risk. The Australian Taxation Office (ATO)...
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Small business tax planning tips: the do’s and don’ts

By Scott Harrington on 02/06/25 - Mins to read: 4 minutes

Many small business owners can become so focused on the day-to-day operations of running their business that they leave their End of Financial Year (EOFY) tax planning to the very last minute. This can make settling accounts and meeting compliance regulations a daunting process when your to do list is...
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Australia’s economic recovery stayed in the slow lane

By Besa Deda, Chief Economist on 02/06/25 - Mins to read: 4 minutes

Key insights: The economic recovery that began around the middle of last year remains in the slow lane. Gross domestic product (GDP) edged 0.2% higher in the March quarter and grew 1.3% in year-on-year terms. This annual pace of growth is significantly below the long-run pace. Moreover, a...
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Bond vigilantes and the unfolding divergences in markets – part three

By Besa Deda, Chief Economist on 02/06/25 - Mins to read: 4 minutes

Key insights: The rise in long-end government bond yields has not been confined to the United States (US). Longer-end bond yields have also risen in other major economies. The 2-30-year yield curves have also steepened in the major economies, that is, the differential between the 30-year yield and...
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Bond vigilantes and the unfolding divergences in markets – part two

By Besa Deda, Chief Economist on 02/06/25 - Mins to read: 4 minutes

Key insights: The sharp rise in longer-dated bond yields is not confined to the US. Other major economies and Australia are experiencing a lift in bond yields of longer-dated maturities. However, what is interesting is that a divergence has opened with US bond yields and the US dollar....
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Bond vigilantes and the unfolding divergences in markets – part one

By Besa Deda, Chief Economist on 02/06/25 - Mins to read: 4 minutes

Key insights: The United States (US) fiscal deficit is in the spotlight and bond vigilantes are back. Combined with uncertainty over the outlook from US tariff policy, US longer-dated yields have risen sharply. US bond investors see greater risk in holding longer-dated US Treasuries, reflected in the spike...
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