POPULAR WORDS

Deductions in controlling interest superannuation schemes has been disallowed by the Federal Court. The Court dismissed an appeal from Geoffrey Harris who was contesting an earlier decision that a $315,600 contribution he made to a superannuation fund for his own benefit was not tax deductible. The decision has been welcomed by acting Tax Commissioner Michael D'Ascenzo, who says it confirms the Tax Office's view that controlling interest superannuation schemes are not tax effective. "The Court's decision sends a clear message to those who attempt to exploit concessions in the tax law to gain unintended benefits," D'Ascenzo says. Some 2,7000 taxpayers who claimed more than $440 million in deductions in controlling interest superannuation schemes have been identified by the ATO.