Published on 01 Jul 06
by "AUSTRALIAN TAX FORUM" JOURNAL ARTICLE
In 1999 many loss making taxpayers such as small primary producers, artists and other micro businesses, as well as corporate groups, share and property investors nervously sat in the trenches waiting as their losses were under attack from the pending Ralph Report into business taxation. Then on 11.45am AEST 21 September 1999, the whistle sounded for certain individuals running micro businesses to step out into no mans land and face the non-commercial loss provisions [NCL] in Div 35 Income Tax Assessment Act 1997 [ITAA 1997]. The NCL provisions restricted individuals from offsetting losses from non-commercial activities against other income. However, many were spared since these loss restrictions did not extend to passive investors, larger businesses and to micro primary producers and micro artists with other income of less than $40,000.
Paul is Associate Professor in Taxation Law, Flinders Business School, Flinders University, South Australia.
- Current at
30 September 2015