Demystifying taxation treatment of franchising paper

Member Price: $57.00

Non Member Price: $75.00

Publication date: 28 May 08

Source: NEW SOUTH WALES DIVISION, THE TAX INSTITUTE

Abstract:

More and more businesses are taking advantage of the mutual benefits that are available with franchise arrangements. The franchisor is provided with an avenue to grow its business whilst the franchisee has immediate access to the trade name, operating systems and reputation of the franchisor. This paper demystifies franchises and considers many of the common tax and structuring issues associated with them. Topics covered include:

  • what is a franchise?
  • overview of regulatory framework for franchises
  • when is a franchise arrangement appropriate?
  • structuring issues for franchisors and franchisees
  • taxation treatment of:
    • upfront franchise fees
    • ongoing franchise fees
    • other fees and costs (marketing, fit outs etc)
  • Intellectual property and goodwill issues
  • Tax issues on sale, termination and expiry.

Author profile:

Benjamin Wilson CTA
Ben is a Partner with Cosoff Cudmore Knox Lawyers and has a wide range of experience in corporate and commercial transactions, with a particular focus on taxation and superannuation. He regularly advises clients on estate planning and business succession planning issues. He acts for high net wealth individuals and family groups with businesses in a range of industries. Ben is a member of the Taxation Institute's State Council and a former chair and member of the Tax Institute's Education Committee.
Current at 17 December 2014
Click here to expand/collapse more articles by Ben WILSON.
 

 


This was presented at Annual Tax Forum.

Purchase all materials from this event

Get a 20% discount when you buy all the items from this event. To purchase individual items from this event, please see below.

Purchase individual materials from this event:

Division 7A update - 30 June 2008 is “drop dead date”
Author(s):  Gil LEVY


Exploring superannuation
Author(s):  Mark WILKINSON

Material from this session:


Effective trust distributions: get them right
Author(s):  Neil WICKENDEN


Your trust is misplaced
Author(s):  Andrew NOOLAN

Material from this session:


GST hot topics & recent developments
Author(s):  Andre SPNOVIC


Company losses – recoverable or lost?
Author(s):  Peter FOGALE


When the taxman comes
Author(s):  Weston RYAN

Material from this session:


Demystifying taxation treatment of franchising
Author(s):  Ben WILSON

Material from this session:


Mobile executives: outbound tax considerations
Author(s):  John MEEHAN

Material from this session:


Buy – sell transactions: What are the issues?
Author(s):  Spyros KOTSOPOULOS,  Les SZEKELY


Consolidation - a report card
Author(s):  Jenny CLARKE

Material from this session:


The new Federal Government and business taxation
Author(s):  Tony STOLAREK


Tax risk management – a view from the boardroom
Author(s):  Richard WARBURTON


Preparing for and conducting tax litigation
Author(s):  Malcolm STEPHENS

Material from this session:


Tax losses- Where are we now?
Author(s):  Paul WELCH

Material from this session:


Recent developments in R&D: Are you maximising your opportunities?
Author(s):  Karen STEIN


Snapshot of recent Australian international tax developments
Author(s):  Alison YOUNG


TOFA for real property
Author(s):  Joshua CARDWELL

Material from this session:


TOFA – Hedging in practice
Author(s):  Matt HAYES

Material from this session:


Waiver of legal professional privilege - ATO’s access and information gathering powers
Author(s):  Chris C BRANSON


Climate change – Indirect taxation issues
Author(s):  Amrit MACINTYRE


Part IVA - Where are we at?
Author(s):  Allan W BLAIKIE

Material from this session:


M&A developments
Author(s):  Michael FRAZER

Material from this session:


Capital management developments
Author(s):  Simon JENNER

Material from this session:


GST developments
Author(s):  Paul STACEY

Material from this session:


Promoter penalty laws, two years on
Author(s):  John KING


Early stage venture capital limited partnerships
Author(s):  Gareth KIRKBY

Material from this session:


The business of backyard developers
Author(s):  Yvette PIETSCH

Material from this session:


Dealing with tax audits
Author(s):  Ken SCHURGOTT

Material from this session:


Further details about this event:

Copyright Statement