Miscellaneous 2007

Removing funds from companies

Source: Western Australia

Published Date: 10 Aug 2007


Removing funds from a controlled company - and not suffering a hefty tax penalty in the process is no easy matter. At least three different tax dangers have to be negotiated – avoiding additional tax on the Company, avoiding further tax on the shareholder and avoiding a penalty debit to the company's franking account. This presentation looks at a few of the possibilities for a satisfactory outcome, and some of the dissonant dangers that lurk in this territory:

  • accessing retained earnings
  • avoiding the wash-out of concessions
  • dividends and dividend access shares
  • stripping and streaming rules
  • capital reductions - is this feasible for SMEs?
  • loans out
  • liquidation of companies
  • redundancy payments and other benefits
  • FBT issues.

Sorry, this is subscriber only content.

If you're not yet a subscriber, to gain access to this material and much more - Subscribe Now.

Already a Subscriber? Login now

Already a Subscriber? Login now

Individual Session

Removing funds from a company - some of the hidden dangers

Author(s): Graeme S Cooper FTI


  • Published By: Graeme S Cooper FTI
  • Published On:10 Aug 2007
  • Took place at:Abbey Beach Resort, Busselton

The material is copyright. Apart any fair dealing for the purpose of private study, research criticism or review, as permitted under the copyright Act, no part may be reproduced by any process without written permission from The Tax Institute.

Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

The Tax Institute
(ABN 45 008 392 372 (PRV14016))


The Tax Institute is a Recognised Tax Agent Association (RTAA) under the Tax Agent Services Regulations 2009. 

Copyright Statement

All materials provided on this site are protected by copyright and are owned by or licensed to TTI.

Except as expressly permitted by TTI or the copyright owner, any person or company who uses this site must not use, reproduce, redistribute, retransmit, publish or otherwise transfer, or commercially exploit, the materials or any information, software or other content, in whole or in part, which is available through this site.


Miscellaneous 2007

Share this page