CGT Concessions Can Help You With Tax Relief
- Written by NewsServices.com
What are the small business CGT concessions?
The small business CGT concessions provide significant tax relief for small businesses that sell their business or assets. The ATO small business CGT concessions can reduce the amount of tax payable on the sale, or in some cases, eliminate it altogether. This makes it an attractive option for small businesses looking to sell up and retire.
How do the small business CGT concessions work?
The small business CGT concessions are a set of tax concessions that can reduce the capital gain tax (CGT) liability on the sale of certain small businesses and assets used in those businesses.
The concessions are complex, but broadly speaking, they can provide relief from CGT on the sale of a small business or assets used in a small business, provided certain conditions are met.
The main conditions that must be met are that:
-The business must be a 'qualifying small business. This generally means the business must have an aggregated turnover of less than $2 million (or $5 million for certain professional services businesses).
-The asset must have been used in the course of carrying on a qualifying small business.
-The concession must be applied for at the time of lodgement of the relevant tax return.
If the conditions are met, the small business CGT concessions can significantly reduce the amount of CGT payable on the sale of a small business or assets used in a small business.
The concessions are complex, and professional advice should be sought to ensure that the conditions are met and the concessions are correctly applied.
What are the benefits of the small business CGT concessions?
The small business CGT concessions are a set of tax concessions that are available to small businesses that meet certain criteria. The concessions can significantly reduce the amount of tax that is payable on the sale of a small business, or on the disposal of assets that are used in a small business.
The small business CGT concessions can be a valuable tool for small businesses that are looking to sell up or wind down their operations. The concessions can help to maximize the return that a small business owner receives from the sale of their business, and can also help to minimize the amount of tax that is payable on the disposal of assets.
Small business CGT concessions are a complex area of tax law, and professional advice should be sought in order to ensure that the concessions are correctly applied.
