At Ramsden Lawyers, our business lawyers are experts in determining the small business taxation exemptions that apply to business taxes. In short, in order to be eligible for the small business taxation exemptions, a business must satisfy one (1) of the following criteria:
(a) Have an aggregated turnover of less than $2 million; (b) Have an actual aggregated turnover for the current year of less than $2 million; (c) Have an estimated aggregated turnover for the current year less than $2 million in addition to an aggregated turnover for the previous two (2) years less than $2 million.
If the small business tax concessions can be accessed, they stand to provide a business with tax exemptions regarding CGT and retirement as well as the fifteen (15) year small business exemptions). In addition, a qualifying small business can receive a 50% reduction on CGT over active assets, rollover relief (where you buy a replacement asset). Beyond these options, the small business tax concessions generally offer favourable deductions and depreciation rules that can assist small businesses looking to maximise their profitability.