Issue Highlights: Tribute to Robert Jacks How to avoid an ATO fine Emily Floyd Review The Budget and how it effects you

www.lowensteins.com.au TaxTax MattersMatters forfor thethe ArtsArts NEWSLETTER SEPTEMBER 2014 Robert Jacks 1943 - 2014 The Honourable Paul M Guest OAM QC gave a eulogy for ROBERT JACKS AO at the National Gallery of on 20 August 2014, below is an excerpt.

It is by the exemplification of Robert’s life, so well lived, and the command of his masterly professionalism that we whose life he has touched through his art and his wide-embracing presence, remember Robert’s legacy with pride, deep affection and the utmost respect.

The creative mastery, the virtuosity, We remember all of this and feel the wisdom Our respective memories of Robert are of this most remarkable man will be of his consciousness, his unyielding built upon the firm foundation of gratitude, memorialised in October this year when individuality and the conceptual process affection and unfeigned respect. His legacy the National Gallery of Victoria will present through which he created outstanding and will endure and remain undiminished with a survey of Robert’s professional career memorable works of art, sculpture, prints, the passing of the years, for it is woven – “Order and Variation”, a fitting tribute to etchings and artists books. into the very fabric of our own lives and an artist who has emphatically influenced, To Julienne, Ellie, Angie, Nick and the resonates in the great galleries of in a kaleidoscopic variety of ways, both broad family, we convey our authentic and and elsewhere in the world. contemporary art in Australia and the profound sympathy. 1) Robert Jacks, Past Unfolded, (Fine Art Publishing, separate lives of us all. Robert was a traveller, for whom the world 2001). Robert’s history from the seminal, otherwise had no boundary. His journey to New York 2) Untitled, Portraits of Australian Artists, Sonia highly controversial Field Exhibition of in 1968 was legendary and a vital source Payes. (Macmillan Art Publishing, 2007, p 182). hard-edged Colour-Field Paintings in for his early development. 1968 and over four further decades has Robert soared above adversity. He never Robert Jacks: Order and Variation will be on been meticulously recorded in many boasted of his triumphs, and they were at the National Gallery of Victoria from the 3rd exhibitions, essays and books – including many, but lived his life under the banner of October 2014 – 15 February 2015. the monograph by Ken McGregor.1 honesty, propriety and dignity. www.ngv.vic.gov.au Robert Lindsay described Robert’s creative energy as “ … boundless and restless – the approach that of a ‘universal man’ who moves easily across all aspects of contemporary art practice, blurring the lines between object and image, painting and sculpture, between fine art and craft” and how “he remained faithful to his commitment to abstraction and continued to refine the elegance of his technical virtuosity and intellectual discipline”.2 We honour his passion; his decency; his penetrating intellect; his gentle, sophisticated and worldly, gregarious nature; his quiet courage; the supremacy and analytical rigour of his art and, above all, his unconquerable, independent and unselfish spirit. Artwork top: Metropolis 6 1984, oil on canvas, 183.0 x 152.0 cm, Estate of the artist, Victoria © Robert Jacks Portrait above: Robert Jacks, 2009, Image courtesy of National Gallery of Victoria

LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :1 Avoid a tax office fine by lodging returns on time With the Australian Tax Office but in some cases where the amount report, an annual goods and service tax having increased penalties of prior year tax is above a certain (GST) return or an annual GST Information for late tax returns, it’s a threshold , the date may be earlier , we will Report. timely reminder to ensure contact those clients who have an earlier While there are some exceptions and lodgement date. you have your tax affairs in conditions, in general a FTL can be order in readiness for an early The quarterly BAS statements avoided if forms are lodged on time or the ATO is contacted ahead of the due date. lodgement. Quarter Self Lodge If there are extenuating circumstances as Lodging with Tax The ATO has introduced new, much higher Agents to why you can’t lodge your tax return or ‘Failure to Lodge’ (FTL) penalty amounts. ‘Approved Forms’ by the due date, the SEP 28 Oct 25 Nov The government has revised penalties ATO may make an allowance but will need from the basic penalty of $110 up to $850. DEC 28 Feb 28 Feb to be notified ahead of the due date. Perhaps it’s also worth noting that a MAR 28 Apr 26 May If you are unable to lodge a document by the due date, you should contact us to see FTL is NOT tax deductible and once the JUN 28 Jul 25 Aug Australian Tax Office has imposed a FTL if an alternative date can be agreed to with the Australian Tax Office. penalty upon you, it will attract interest These dates cover the majority of our until it is paid. clients, but in certain circumstances these Also be warned that the Tax Office can hit So the sensible course of action would dates may be different for certain classes you with a penalty of 25% of the shortfall be to avoid being hit with a FTL in the of tax payer. We will be in contact as these amount for Not Taking Reasonable Care. first instance as that will take care of the dates approach. Generally this occurs when the Tax accumulating interest! The ATO is obliged to issue a Failure to Office deems that you did not do what a The due dates are as follows: Lodge penalty if you are late lodging an reasonable person would have done. For income tax returns where the prior ‘approved form’ by the due date. Approved In justifying its penalties and fines, the ATO years return has been lodged using the Forms include a Business or Instalment argues that it is “to encourage taxpayers services of a tax agent Activity Statement (BAS, IAS), an income to take reasonable care in complying with tax return, a fringe benefits tax return, a their tax obligations.” 15th May each year pay as you go (PAYG) withholding annual Now that’s a positive way of looking at it! Accounting for Taste book launch On 2nd March 2014 Lowensteins Arts Management celebrated the launch of their book documenting the Lowensteins Arts Collection. “Accounting For Taste” has been written by Professor Sasha Grishin. In Sydney the book was launched by John Olsen, and Edmund Capon at the Olsen Irwin Gallery. In attendance were artists Charles Blackman, Ken Unsworth, John Beard, Hilarie Mais, Kerrie Lester and photographer Gary Heary. Prof. Sasha Grishin, John Olsen Accounting for Taste can be purchased & Tom Lowenstein online for $88 at www.lowensteins.com.au. Charles Blackman & Tim Olsen

John Olsen

John Olsen & Edmund Capon

LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :2 Emily Floyd

Steiner Rainbow by Emily Floyd, 2006, MDF, two-part epoxy paint dimensions variable (approx. 181 x 361 x 180 cm) Courtesy of the artist and Anna Schwartz Gallery Sydney and To say life has been busy and bright colors, inspire a connection “in a new direction”. for Melbourne artist, Emily between art, learning and play. “I like the NGV’s approach to modernism Floyd, in recent months is an Art and play is also the centerpiece and this will be a thoughtful exploration”, understatement. of Floyd’s ‘Abstract Labour’ - a new she says, an “encounter with a audience permanent addition to the sculpture park on a big scale”. The 42-year-old contemporary artist is at Heide. The 14 painted letter-shapes Perhaps giving a hint of what’s to come, starting to lose her voice just hours after have been designed to house books and Floyd says visitors to the NGV will be able arriving in Brisbane to deliver a speech at blocks for children to play with and reflect to “explore, sit within, read and occupy this the opening of the ‘Harvest’ exhibition at Floyd’s interest in alternative educational space in a different way”. mechanisms for learning. the Queensland Gallery of Modern Art until “I used to wag school to go to the NGV, so 21st September 2014. Floyd describes the Heide exhibition as I’m really thrilled to be invited to participate The exhibition is a celebration of food in “a tiny world within a world offering an in an exhibition of this magnitude”, Floyd art and Floyd is full for praise for the 150 exploration of ideas”. says. works on show. While the artist is no stranger to executing Of her new commission for the NGV foyer, After the formalities are over, Floyd is back big projects, notably Melbourne’s Eastlink Floyd says “it’s a distinct sense of scale, on a plane to Sydney where she is working Motorway, the Docklands and the Rialto large scale major new works.” Tower Development, Floyd is excited by on a public commission for Martin Place. Floyd says the NGV project is her forthcoming exhibition at the National And there’s likely to be little rest for the the culmination of many years of Gallery of Victoria. respected artist who, in March, opened a dedicated work. To be opened in late November, Floyd survey of her works at Heide Museum of “I’ve been working so hard over 15 years says she’s “thrilled to be working with the Modern Art in Melbourne. and this will close off a cycle in my career NGV”. Focusing on key works from the past and I can look to a new direction - small decade of Floyd’s output, the exhibition “The Dawn” is an exhibition of Floyd’s things,” she jokes. includes eleven new works devised keynote works from 2001 to 2014, including specifically for Heide’s galleries and major installations. grounds. Floyd’s work in sculpture, installation Floyd has titled the show ‘Far Rainbow’ a and printmaking is well known and *Emily Floyd is represented by Anna take from the 1963 Soviet science-fiction she is perhaps identified by her text-based Schwartz Gallery in Melbourne and story set on the imaginary planet, Rainbow, sculptures. Sydney. a utopian location inhabited by artists and Floyd describes the upcoming project scientists, which is facing destruction. a “library of manifestos based in a Far Rainbow presumably offers a parallel public sculpture” that will be “interactive to our own planet under threat and Floyd’s and tactile”. sculptures, with their simple geometrics She says the exhibition will take her work

LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :3 Anzac Centenary Arts and Culture Fund Minister for the Arts, Senator Sir Jonathan Mills’ previous positions The Hon. Rod Kemp, former the Hon. George Brandis QC, include Artistic Director of the Melbourne Minister for the Arts and Minister Assisting the Prime International Arts Festival, the Melbourne The Hon. Brendan Nelson, Federation Festival, the Melbourne Director, Australian War Memorial Minister for the Centenary Millennium Eve celebrations and the Josephine Ridge, Creative Director, of Anzac, Senator the Hon. Brisbane Biennial International Music Melbourne Festival Michael Ronaldson, today Festival. In 2006, Sir Jonathan was announced the appointment of the Artistic Director of the Edinburgh Margaret Seares, Chair, Perth International Arts Festival Sir Jonathan Mills AO FRSE International Festival. He graduated in as the Creative Advisor for music from the University of Sydney where Ben Quilty, artist he specialised in composition with Peter the Anzac Centenary Arts and Tony Walker, International Editor, Sculthorpe and his composition Sandakan Australian Financial Review. Culture Fund and welcomed the Threnody won the Prix Italia in 2005. The Anzac Centenary Arts and Culture Fund eminent Australians that form Senator Ronaldson said that the Anzac features a Production and Commissioning the Fund’s Advisory Panel. Centenary Program will mark a Century of Fund led by Sir Jonathan and a $2 million “Sir Jonathan Mills will shape Australia’s Service, encompassing all wars, conflicts Public Grants program managed by the extensive arts and culture program and peacekeeping operations in which Ministry for the Arts. The Public Grants as part of the Centenary of Anzac Australians have been involved. program, which will launch later this year, commemorations,” Senator Brandis said. “The Centenary of Anzac will be the most will be open to arts organisations, groups, “The art projects considered by Sir significant period of commemoration in individuals and cultural institutions. Jonathan and the Advisory Panel and our nation’s history and the Government The Anzac Centenary commemorations supported through this new Fund will tell is committed to providing opportunities will take place between 2014 and 2018, the story of the Anzacs and how their for all Australians to participate, including marking 100 years since Australia’s sacrifice shaped our nation. through the Anzac Centenary Arts and involvement in the First World War. At home and abroad, Sir Jonathan’s Culture Fund.” experience as an artistic director and The Anzac Centenary Arts and Culture musician will ensure the arts and cultural Fund Advisory Panel members are: For more information about the Anzac component of the Anzac Centenary Wesley Enoch, Artistic Director, Centenary Arts and Culture Fund visit commemorations will pay respectful tribute Queensland Theatre Company www.arts.gov.au. to this important chapter in Australian Nicholas Heyward, CEO, military history.” Tasmanian Symphony Orchestra

Books in the Woods, by Tim Jones, 2005, etching, edition 12/35, 27.0 x 35.0 cm

LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :4 Budget Bits If you haven’t had the cent from 1 July 2021 and by 0.5 per cent front. However, the HECS-HELP benefit, opportunity to get your head per year from 1 July 2022 until it reaches which was intended to provide an incentive around all things Budget, allow 12 per cent for the year beginning 1 July for graduates of particular courses to take us to give you an overview 2025. up related occupations or work in specified Eligibility Thresholds: locations will end from 2015-16. There are a number of changes that you The Government will freeze eligibility The Government will also remove the 25% should be aware of: thresholds for the Australian Government loan fee applied to FEE-HELP loans for Budget Deficit Levy: payments for three years. Eligibility fee-paying undergraduate courses and the As foreshadowed before the Budget, the thresholds for non-pension payments 20% loan fee applied to VET FEE-HELP Government announced the introduction will be maintained for 3 years from 1 loans for eligible full fee-paying students of a Budget deficit levy (tax), to apply July 2014. Major non-pension payments in higher level vocational education and for 3 years commencing on 1 July 2014. include Family Tax Benefit, Child Care training courses. Formally known as the Temporary Budget Benefit, Child Care Rebate, Newstart Incentives for hiring over 50’s: Repair Levy, it will apply at 2% for incomes Allowance, Parenting Payments and Youth Employers can now receive up to $10,000 over $180,000. Allowance. in Government assistance if they hire The formula is simple enough - individuals Eligibility thresholds for pension and a job-seeker aged 50 or older under its with taxable income of $200,000 will pay pension related payments will be new “Restart” program. The program will 2% of $20,000 ie a levy of $400 while maintained for 3 years from 1 July 2017. replace the Seniors Employment Incentive those with a taxable income of $300,000 Major pension related payments include Payment. will pay 2% of $120,000 ie $2,400 in tax. the Aged Pension, Carer Payment, Under the program, eligible employers Disability Support Pension and the Medicare Levy: will receive $3,000 if they hire a full-time Veterans’ Service Pension. The Medicare levy increased to 2% from mature-age job seeker who was previously 1.5% on 1 July 2014. This was announced Newstart Allowance: unemployed for a period of 6 months and in last year’s budget and has been The Government will increase the age employ that person for at least 6 months. legislated. The intention of the increase of eligibility for Newstart Allowance and Once that jobseeker has been working is to help fund the proposed National Sickness Allowance from 22 to 24 years for the same employer for 12 months, the Disability Insurance Scheme (NDIS), now of age, from 1 January 2015. Current employer will receive another payment of renamed Disability Care Australia. recipients of Newstart Allowance and $3,000. Sickness Allowance, aged 22 to 24 years Mining Tax and associated A further $2,000 will be paid to the of age on 31 December 2014, will remain measures: employer once the same job seeker has on those allowances. The Minerals Resource Rent Tax Repeal been with them for 18 months, and $2000 and Other Measures Bill 2014 has been HECS and HELP measures: again at 24 months. passed by Federal Parliament with The Government will reduce the income To be eligible for the assistance, employers government amendments and awaits threshold for repayment of Higher will need to demonstrate that the job they Royal Assent Education Loan Programme (HELP) debts are offering is “sustainable and ongoing.” The amendments confirm the following: commencing in 2016-17 and will adjust the indexation of HELP debts from 1 June Income support bonus will continue until 2016. 31 December 2016. The new minimum threshold will be The current Schoolkids Bonus will established for the repayment of HELP continue until 31 December 2016, but a debts, set at 90% of the minimum threshold means test will be applied, so that only that would otherwise have applied in 2016- families on incomes of up to $100,000 17. per annum would qualify. The new minimum threshold is currently The low income super contribution in estimated to be $50,638 in 2016-17. its existing form will apply until 30 June Further, a new repayment rate of 2% 2017. of repayment income will be applied to The abolition of the associated measures debtors with incomes above the new such as loss-carry back will proceed. minimum threshold. The reduction of the instant asset In addition, the annual indexation applied write-off threshold for small businesses to HELP debts will be adjusted from the (from $6,500 to $1,000), and the Consumer Price Index to a rate equivalent discontinuation of the accelerated to the yields on 10 year bonds issued by depreciation arrangements for motor the Australian Government, capped at 6% vehicles, will also go ahead. pa, from 1 June 2016. Super Guarantee: The Government will also continue to The compulsory superannuation rate will make available HELP loans so that eligible rise from its current 9.5 per cent to 10 per students do not have to pay their fees up-

LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :5 Lowensteins Arts Management Pty Ltd Hong Kong Art Fair Certified Practising Accountants ABN: 63 095 459 439 by Evan Lowenstein well. In all, 12 Australian galleries were ACN: 095 459 439 This was the third time that I had showcasing their works. visited Hong Kong Art Fair and Galleries included, Anna Schwartz, Roslyn Melbourne Oxley9, Tolarno, Dianne Tanzer/ Gorie, Level 5 / 574 St Kilda Road was a wonderful experience for Sullivan + Strumpf and some new galleries, Melbourne VIC 3004 me. which is always good to see, Utopian PO Box 6853 Slumps and Jan Murphy. St Kilda Rd Central VIC 8008 In 2014 the Hong Kong Art Fair was the The 29,000 visitors who attended Art T + 613 9529 3800 second fair rebadged as Art Basel HK. Basel HK were made up of collectors, art F + 613 9525 1616 Again the organisers put on an amazing representatives, artists or the general art E [email protected] spectacle the sheer size and breadth of junkies, as I would characterise myself. exhibiting galleries was extraordinary. The quality of the work on the whole was Tom Lowenstein Partner Art Basel HK took place over four days from impressive, showcasing a wide range Evan Lowenstein Partner May 15-18 and was held in the excellent HK of European, British, American and, of Adam Micmacher Partner Convention Centre on Hong Kong Island. course, Asian artists. Predictably, the big Artworks from around the world were on name galleries of the likes of Gagosian, Sydney Suite 601 / 3 Waverley Street display on two equally gigantic floors of the Acquavella, Ben Brown, Leo Castelli, Cheim Bondi Junction NSW 2022 Convention Centre, with each level holding and Read, Hauser & Wirth were showing all around 150 stands respectively. their big name artists like Murakami, Damien PO Box 651 In addition to the privately run stands, as in Hirst, Joan Mitchell, Warhol and William Bondi Junction NSW 1355 Kentridge. past years the organisers arranged specially T + 612 9389 2400 commissioned works by many well known These were also amazing contemporary F + 612 9389 6506 Chinese artists of the calibre of Gu Wenda, works from Asian art galleries in Shanghai E [email protected] Shen Shoamin and Lee Wen. and Beijing and wonderful pieces from In years gone by the main galleries were Indonesia and Mongolia - a world of art Tom Lowenstein Partner dominated by the juggernauts of the world quite unfamiliar to my western eyes. Adam Micmacher Partner Michael Zillig Partner art scene, mainly out of London, New York Works on show at the Art Basel HK ranged and China; this year was no different with in price from HK $1000 to HK$10,000, with a Terms of engagement for professional galleries from as far afield as Portugal, New special curated ‘Under $10,000 Wall’. service Zealand, Greece, Spain and Ireland. No doubt I will be heading off again to Art In accordance CPA Australia’s “Terms The highlight for Australian visitors was to Basel HK for the fourth time in 2016 because of Engagement”, as accountants we are witness SO many Australian galleries doing this art junkie just can’t get enough! required to document and communicate the terms of our engagement with our client. Commencing October 1st, 2014 when we Congratulations send you out your papers for signature, we Congratulations to Fiona Lowry will be including an engagement letter for you winner of the Archibald for her to sign and return. For more information go to our web site, www.lowensteins.com.au. portrait of renowned architect, Penelope Seidler. Important Readers should not act solely on the basis It was Lowry’s intention to paint Penelope of the material contained in this newsletter. Seidler in a familiar environment, so she went Items herein are general comments only and to the architect’s home, which she designed do not constitute or convey advice. Changes with her late husband, Harry Seidler, in the in legislation may occur quickly. We therefore 1960’s. recommend that formal advice be sought from Lowry, a Sydney-based artist, captured her one of our offices before acting in any of the areas covered in this newsletter. muse in the garden of her home, made the Penelope Seidler by Fiona Lowry obligatory sketches and then returned to her She was present with Lowry when the Tell us your news studio to paint Seidler in her absence. It took announcement was made and the two Please send us your news of upcoming her about a month to complete the work. women were photographed in front of the exhibitions, workshops & opportunities. As Lowry explained, “I first saw Penelope portrait. Space permitting we will publish your news in about six years ago at a gallery opening in In our next issue we will feature an our next edition. Alexandria and I was really struck by her interview with the artist Next Edition Deadline : 15 October for beauty and presence. I asked a friend who she Tim Storrier’s portrait of Barry Humphries December 2014 issue was and decided then that I wanted to paint character, Sir Les Patterson, won the [email protected] her.” Packing Room prize. The Wynne Prize For Seidler it was the first time she has sat was awarded to Michael Johnson for best for an Archibald Prize portrait and from all landscape. The Sulman Prize went to Copyright © LAM & the artists & authors 2014 accounts is happy with the result. Andrew Sullivan. Newsletter design by Web Prophets Pty Ltd LOWENSTEINS ARTS MANAGEMENT NEWSLETTER SEPTEMBER 2014 :6