Published on 22 Nov 08
by NATIONAL DIVISION, THE TAX INSTITUTE
This paper explores two recent rounds of amendments to the CGT small business concessions which have applied from 1 July 2006 and 1 July 2007 respectively. These amendments have fundamentally altered the way the concessions work and have consequently impacted upon structuring issues and exit strategy planning issues for clients. This paper focuses on opportunities and issues, including:
the small business entity provisions and the benefits of carrying on a business (even in a small way)
the maximum net asset value test and the new (narrower) definitions of "affiliate" and "connected with"
selling shares or units and the need to carefully manage the distribution process through indirect ownership layers
issues with active assets.
Richard spent most of the first 23 years of his professional career in Brisbane in the tax practice of Andersen and then Ernst & Young. He now operates a tax consulting business through Balena Tassa Pty Ltd. Richard has particular expertise in tax and related structuring issues for the private client market. Most of his work is done by way of consulting to, and providing training for, accountants and lawyers around Australia who operate in these areas.
- Current at
30 August 2017
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