Tuesday, April 7, 2015

Division 152 and the turnover test




Following on from a recent post, one adviser made contact with me in relation to an additional planning opportunity that is often overlooked.

In particular, where the business satisfies the $2 million turnover test, it can be possible that the $6 million net asset test is ignored.  Particularly in relation to agribusiness clients, the turnover test can provide a significant benefit that would otherwise be unavailable if the net asset test needed to also be satisfied.

Until next week


Image credit: Michael Scott cc