\documentclass[10pt,a4paper]{article} % Packages \usepackage{fancyhdr} % For header and footer \usepackage{multicol} % Allows multicols in tables \usepackage{tabularx} % Intelligent column widths \usepackage{tabulary} % Used in header and footer \usepackage{hhline} % Border under tables \usepackage{graphicx} % For images \usepackage{xcolor} % For hex colours %\usepackage[utf8x]{inputenc} % For unicode character support \usepackage[T1]{fontenc} % Without this we get weird character replacements \usepackage{colortbl} % For coloured tables \usepackage{setspace} % For line height \usepackage{lastpage} % Needed for total page number \usepackage{seqsplit} % Splits long words. %\usepackage{opensans} % Can't make this work so far. Shame. Would be lovely. \usepackage[normalem]{ulem} % For underlining links % Most of the following are not required for the majority % of cheat sheets but are needed for some symbol support. \usepackage{amsmath} % Symbols \usepackage{MnSymbol} % Symbols \usepackage{wasysym} % Symbols %\usepackage[english,german,french,spanish,italian]{babel} % Languages % Document Info \author{ranele15} \pdfinfo{ /Title (at-m2.pdf) /Creator (Cheatography) /Author (ranele15) /Subject (AT-M2 Cheat Sheet) } % Lengths and widths \addtolength{\textwidth}{6cm} \addtolength{\textheight}{-1cm} \addtolength{\hoffset}{-3cm} \addtolength{\voffset}{-2cm} \setlength{\tabcolsep}{0.2cm} % Space between columns \setlength{\headsep}{-12pt} % Reduce space between header and content \setlength{\headheight}{85pt} % If less, LaTeX automatically increases it \renewcommand{\footrulewidth}{0pt} % Remove footer line \renewcommand{\headrulewidth}{0pt} % Remove header line \renewcommand{\seqinsert}{\ifmmode\allowbreak\else\-\fi} % Hyphens in seqsplit % This two commands together give roughly % the right line height in the tables \renewcommand{\arraystretch}{1.3} \onehalfspacing % Commands \newcommand{\SetRowColor}[1]{\noalign{\gdef\RowColorName{#1}}\rowcolor{\RowColorName}} % Shortcut for row colour \newcommand{\mymulticolumn}[3]{\multicolumn{#1}{>{\columncolor{\RowColorName}}#2}{#3}} % For coloured multi-cols \newcolumntype{x}[1]{>{\raggedright}p{#1}} % New column types for ragged-right paragraph columns \newcommand{\tn}{\tabularnewline} % Required as custom column type in use % Font and Colours \definecolor{HeadBackground}{HTML}{333333} \definecolor{FootBackground}{HTML}{666666} \definecolor{TextColor}{HTML}{333333} \definecolor{DarkBackground}{HTML}{35DBCB} \definecolor{LightBackground}{HTML}{F2FCFB} \renewcommand{\familydefault}{\sfdefault} \color{TextColor} % Header and Footer \pagestyle{fancy} \fancyhead{} % Set header to blank \fancyfoot{} % Set footer to blank \fancyhead[L]{ \noindent \begin{multicols}{3} \begin{tabulary}{5.8cm}{C} \SetRowColor{DarkBackground} \vspace{-7pt} {\parbox{\dimexpr\textwidth-2\fboxsep\relax}{\noindent \hspace*{-6pt}\includegraphics[width=5.8cm]{/web/www.cheatography.com/public/images/cheatography_logo.pdf}} } \end{tabulary} \columnbreak \begin{tabulary}{11cm}{L} \vspace{-2pt}\large{\bf{\textcolor{DarkBackground}{\textrm{AT-M2 Cheat Sheet}}}} \\ \normalsize{by \textcolor{DarkBackground}{ranele15} via \textcolor{DarkBackground}{\uline{cheatography.com/180956/cs/37632/}}} \end{tabulary} \end{multicols}} \fancyfoot[L]{ \footnotesize \noindent \begin{multicols}{3} \begin{tabulary}{5.8cm}{LL} \SetRowColor{FootBackground} \mymulticolumn{2}{p{5.377cm}}{\bf\textcolor{white}{Cheatographer}} \\ \vspace{-2pt}ranele15 \\ \uline{cheatography.com/ranele15} \\ \end{tabulary} \vfill \columnbreak \begin{tabulary}{5.8cm}{L} \SetRowColor{FootBackground} \mymulticolumn{1}{p{5.377cm}}{\bf\textcolor{white}{Cheat Sheet}} \\ \vspace{-2pt}Not Yet Published.\\ Updated 7th October, 2023.\\ Page {\thepage} of \pageref{LastPage}. \end{tabulary} \vfill \columnbreak \begin{tabulary}{5.8cm}{L} \SetRowColor{FootBackground} \mymulticolumn{1}{p{5.377cm}}{\bf\textcolor{white}{Sponsor}} \\ \SetRowColor{white} \vspace{-5pt} %\includegraphics[width=48px,height=48px]{dave.jpeg} Measure your website readability!\\ www.readability-score.com \end{tabulary} \end{multicols}} \begin{document} \raggedright \raggedcolumns % Set font size to small. Switch to any value % from this page to resize cheat sheet text: % www.emerson.emory.edu/services/latex/latex_169.html \footnotesize % Small font. \begin{multicols*}{2} \begin{tabularx}{8.4cm}{x{2.736 cm} x{0.912 cm} x{3.952 cm} } \SetRowColor{DarkBackground} \mymulticolumn{3}{x{8.4cm}}{\bf\textcolor{white}{m2.9C Specific Deduction Provision}} \tn % Row 0 \SetRowColor{LightBackground} Division 25 (Misc. Ded) & s25-5 & Managing Tax Affairs/Tax Compliance (not directly related to assessable income) \tn % Row Count 4 (+ 4) % Row 1 \SetRowColor{white} & \seqsplit{s25-10} & Repair of Non-Captial Nature \tn % Row Count 6 (+ 2) % Row 2 \SetRowColor{LightBackground} & \seqsplit{s25-20} & Lease establishment Costs (asso with CAPEX) \tn % Row Count 9 (+ 3) % Row 3 \SetRowColor{white} & \seqsplit{s25-25} & Borrowing Cost (asso with CAPEX) \tn % Row Count 11 (+ 2) % Row 4 \SetRowColor{LightBackground} Division 28 (Car) & \seqsplit{s.28-15} & Method 1: Cents per KM \tn % Row Count 13 (+ 2) % Row 5 \SetRowColor{white} & & Method 2: Log Book \tn % Row Count 14 (+ 1) % Row 6 \SetRowColor{LightBackground} Divison 30 \seqsplit{(Gifts/Donations)} & \seqsplit{s.30-15} & *must be endorsed by the Commissioner (registered charity \tn % Row Count 17 (+ 3) % Row 7 \SetRowColor{white} & Key reqt: & (1)deductible gift recipient (2) gift amt \textgreater{}/+\$2 (3)no material benefit received in return \tn % Row Count 22 (+ 5) % Row 8 \SetRowColor{LightBackground} \mymulticolumn{3}{x{8.4cm}}{Division 36} \tn % Row Count 23 (+ 1) % Row 9 \SetRowColor{white} \textgreater{} Tax Loses of Prior Yrs & \seqsplit{s.36.10} & Current year surplus deductions Less Net Exempt Income \tn % Row Count 26 (+ 3) % Row 10 \SetRowColor{LightBackground} \textgreater{} Future Year Deduction & \seqsplit{s.36-15} & 1. Apply CY deduction first 2. Appy carry-forward tax loses - after reducing by any Net Exempt Income from CY \tn % Row Count 32 (+ 6) \hhline{>{\arrayrulecolor{DarkBackground}}---} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{3.192 cm} x{0.912 cm} x{3.496 cm} } \SetRowColor{DarkBackground} \mymulticolumn{3}{x{8.4cm}}{\bf\textcolor{white}{m2.10C Specific Deduction Limit/Deny}} \tn % Row 0 \SetRowColor{LightBackground} Division 26 & \seqsplit{s.26-5} & 1.Fines and Penalties excluded \tn % Row Count 2 (+ 2) % Row 1 \SetRowColor{white} & \seqsplit{s.26-10} & 3. Employee leave deferred \tn % Row Count 4 (+ 2) % Row 2 \SetRowColor{LightBackground} & \seqsplit{s.26-35} & 2. Payments to related reduced \tn % Row Count 6 (+ 2) % Row 3 \SetRowColor{white} Division 32 & \seqsplit{s.32.5} & No Deduction for Entertainment \tn % Row Count 8 (+ 2) % Row 4 \SetRowColor{LightBackground} Division 32 & \seqsplit{s.32-10} & Ent. re: Bus Discussion ► Cannot Deduct \tn % Row Count 11 (+ 3) % Row 5 \SetRowColor{white} *Exception relating to Entertainment & \seqsplit{s.32-20} & Can deduct - FBT provisions \tn % Row Count 14 (+ 3) % Row 6 \SetRowColor{LightBackground} *Exception relating to Entertainment & \seqsplit{subdiv} 32B & Can deduct - table of Exceptions eg seminar, ent. indusry exp, employer exp (in-house dining) \tn % Row Count 20 (+ 6) % Row 7 \SetRowColor{white} Division 35 & & Non-Commercial Business Losses \tn % Row Count 22 (+ 2) % Row 8 \SetRowColor{LightBackground} Division 820 & & Thin Capitalisation \tn % Row Count 24 (+ 2) % Row 9 \SetRowColor{white} Division 328 & & Prepayments for Services (and s.82KZMD ITAA36) \tn % Row Count 27 (+ 3) \hhline{>{\arrayrulecolor{DarkBackground}}---} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{2.66 cm} p{0.76 cm} x{4.18 cm} } \SetRowColor{DarkBackground} \mymulticolumn{3}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.H Non-Comm'l Bus Losses - Div.35}} \tn % Row 0 \SetRowColor{LightBackground} 1. Assessable Income Test & \seqsplit{s.35-30} & Assessable Income(incl. cap gains \& bal. adjmnts) of atleast \$20k \tn % Row Count 3 (+ 3) % Row 1 \SetRowColor{white} 2. Profit Test & \seqsplit{s.35-35} & Business has a profit in 3 out of past 5 years (incl CY) \tn % Row Count 6 (+ 3) % Row 2 \SetRowColor{LightBackground} 3. Real Property Test & \seqsplit{s.35-40} & Value of real property used in the business has a total reduced cost base of \$500k. Excl dwelling (private use) \tn % Row Count 12 (+ 6) % Row 3 \SetRowColor{white} 4. Other Assets Test & \seqsplit{s.35-45} & Value of depreciating assets, trading stocks, leased assets \& int'l property excl. real property, car, motor cycles used on a continuity basis was at least \$100k \tn % Row Count 20 (+ 8) \hhline{>{\arrayrulecolor{DarkBackground}}---} \SetRowColor{LightBackground} \mymulticolumn{3}{x{8.4cm}}{Step 1. Look at assessable Income and Other Income \newline Step 2 . Losses can be offset in the CY if ANY ONE of the four test above are met: \newline Step 3 Commissioner discretion} \tn \hhline{>{\arrayrulecolor{DarkBackground}}---} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{2.356 cm} x{1.064 cm} x{4.18 cm} } \SetRowColor{DarkBackground} \mymulticolumn{3}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.H Commerciality Test}} \tn % Row 0 \SetRowColor{LightBackground} Assessable Income Test & sec 35-30 & AI from business including capital gain and balancing adjustment, is {\bf{at least \$20k}} \tn % Row Count 4 (+ 4) % Row 1 \SetRowColor{white} Profit Test & sec 35-35 & Bus activity {\bf{resulted in profit}} in atleast {\bf{3 of the past 5 years incl CY}} \tn % Row Count 8 (+ 4) % Row 2 \SetRowColor{LightBackground} Real Property Test & sec 35-40 & Real Property or Interest in RP, used in carrying on the business = Reduced Cost Base of {\bf{\$500k or more.}} {\bf{Excludes}} dwelling and its adjacent land that is mainly used for private purpose. \tn % Row Count 17 (+ 9) % Row 3 \SetRowColor{white} Other Assets Test & sec 35 -45 & Depreciating Assets, trading stock, leased assets and Intellectual property of business {\bf{are valued atlease \$100k.}} Excludes cars, motorcycle or similar vehicles. \tn % Row Count 25 (+ 8) \hhline{>{\arrayrulecolor{DarkBackground}}---} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.1 Other Administrative Penalty Types}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678538512_Penalty_1.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.9 PAYG Withholding \& Installment Payment}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678540525_payg.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.9 PAYG Installment Calculation}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678540693_PYG Instal Calc.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{4 cm} x{4 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m1.10 PENALTY CATEGORY}} \tn % Row 0 \SetRowColor{LightBackground} Failure to Lodge on Time or In Approved Form & * Taxation Administration Act 1953 s.1 div. 286 \tn % Row Count 3 (+ 3) % Row 1 \SetRowColor{white} & * Penalty Units (\$222 from 01/07/2020) \tn % Row Count 5 (+ 2) % Row 2 \SetRowColor{LightBackground} False or Misleading Statement & * Taxation Administration Act 1953 s.1 div. 284 \tn % Row Count 8 (+ 3) % Row 3 \SetRowColor{white} & Base Penalty plus Adjustment \tn % Row Count 10 (+ 2) \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.10 GIC - General Interest Charge}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678539335_Interst Charge GIC.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.10 SIC (Shortfall Interest Charge)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678538810_Interest Charges.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.10 SIZE OF PENALTY\_Failure Lodge}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678539487_Size of Penatly.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m1.10 PENALTY IN RELATION TO STATEMENTS}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678538372_Capture.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.0A - PRINCIPLE OF TAXABLE INCOME}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678537557_Capture.PNG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.1A Residency for Individual}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678543890_residency_ind.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.2A Residency for Companies}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678544016_residency_company.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.3A Source of Income}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678543316_m2.2.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.4B - Assessable Income}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678545222_aI.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{NOT Assessable Income - {[}ITAA97 s6.15{]} \newline 1. Not Ordinary Income {[}ITAA97 s6-5{]} and Statutory Income {[}ITAA97 s6-10{]} \newline 2. Exempt Income {[}ITAA97 s6-20{]} \newline 3. NANE - non assessable and non-exempt income {[}ITAA97 s6-23{]}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.4A Characteristic of Ordinary Income}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678545848_OI.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Usually connected with a source: \newline 1. ACTIVE - e.g. Personal or Business Services \newline 2. PASSIVE - e.g. Income as returns on property /investment} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.4B Characteristic of Ordinary Income}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678545992_OI cont.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.4BCompensation}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678546150_comp.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Questions of whether Revenue or Capital Compensation? \newline 1. Affects the underlying business structure? \newline 2. Normal trading risk for the type of business? \newline 3. Incidental to carrying on ordinary business?} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.5B Statutory Income Provisions}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678546586_SI.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{1. Specific amounts made assessable by the Act \newline 2. ITAA97 s6-10(1) - assessable income which includes amounts that are not ordinary income \newline 3. ITAA97 s.6-10(2) amount not ordinary income but included in AI by provision of assessable income \newline \newline e.g. Net Capital Gains / Forex Gains / Insurance Bonuses} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6B Non Cash Business Benefits}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678548302_ncbb.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Case 1: Not Cash or Convertible into Cash \textgreater{} Generally NOT an OI \textgreater{} Arise from business relationship {[}s21A applies{]} \textgreater{} No exception applies (no entertainment provided by the client) \textgreater{} ARM's LENGHT VALUE (\$2,000) - INCLUDED IN ASSESSABLE INCOME \newline \newline Case 2 ; Not Cash or Convertible into Cash \textgreater{} Generally NOT an OI \textgreater{} Arise from business relationship {[}s21A applies{]} \textgreater{} EXCEPTION applies {[}s.21A{]} - non deductible entertainment expense of supplier \textgreater{} Value of Non Cash Business Benefit is REDUCED TO NIL} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6B Exempt Income}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678548713_EI.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6B NANE}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678548809_NANE.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{e.g GST \newline \newline Quiz: A registered charity sells donated goods tru opshop for \$110 incl GST. \newline {\emph{ \$100 - Exempt income (registered charity) s.50-5 \newline }} \$10 GST - NANE s.17-5(a) \newline \newline Foreign investors will not be entitled to any franking credits on the FRANKED Dividends. \newline *wtax on franked dividends is Zero. \newline \newline Dividends and Interest Income subject to WTAX, the net amount is now NANE {[}ITAA36 s128D{]}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.7B Derivation}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678542482_derivation.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{CASH basis - Passive Income (rent, interest, dividends) \& Salary and wages \newline \newline ACCRUAL basis - Business Income (large scale transactions \& invoice issuance)} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.8C General Deduction - Positive Limb}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678595158_S8-1 POS.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.8C - General Deduction - Negative Limb}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678595209_POS 8 NEG.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.9C - Specific Deduction Provisions (sec 8-5)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678615806_SDP.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C - Specific Limitation to Deduction}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678615669_deduc limit.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. - Company Losses Key Element}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678619037_calc tax loss.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. - Synthesize Tax Loss}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678619111_stl.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. - Loss Recoupment Rules - COT Period}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678617246_COT.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Tax Losses: start of loss year to end of recoupment year \newline Capital Losses: start of loss year to end of recoupment year \newline Bad debts: day the debt incurred to end of claim year} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. COT Addl Rules \& Exceptions}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678619350_ar.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. - WH Company \& Div 166 Company}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678619502_whc.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. COT - WH Company \& Div 166 Company}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678619649_simplified.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. Loss Recoupment Rules - BCT}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678617659_bct.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{BCT is done immediately after COT FAILED, which means,it is not the business of the last year is tested, only the business carried on immediately prior to the change of ownership \newline \newline BCT is fulfilled if passed this 2 tests - Same \& Similar Continuity Test} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. BCT SBT - Same Business Test}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678617901_sbt.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. BCT - Similar Business Test}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678618205_similar.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Similar business test factor: \newline 1. Similarity between {\bf{assets}} of former and new business. \newline 2. Similarity between {\bf{activities}} of former and new business. \newline 3. Similarity of {\bf{identity}} between old and new business \newline 4. To what {\bf{extent}} did a new {\bf{business evolve}} from developments in old one?} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. Utilisation of Available Losses}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Loss recoupment satisfied {[}COR or BCT{]} \textgreater{} can NOW Carry forward and utilise losses} \tn % Row Count 2 (+ 2) % Row 1 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{First apply against net Exempt Income \textgreater{} Requirement} \tn % Row Count 4 (+ 2) % Row 2 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Apply any Remaining Tax Losses \textgreater{} Choice} \tn % Row Count 5 (+ 1) \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Loss Deduction Rules:}} \newline {\emph{ Oldest available losses must be utilized first \newline }} No deduction can be made where excess franking credits exist \newline * Deduction of losses cannot result in excess franking offsets.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C. Temp Loss Carry Back Tax Offset}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678620531_tlc.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.Temp Loss Carry Back Tax Offset - Case}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1678620913_tlc-case.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.G Prepayment - ITAA36 Prt III Sub.H}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679090234_prepayment.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{ESP}} - Eligible Service Period \newline {\emph{ A loss or outgoing from an advance payment is usually incurred for s.8-1 purposes when paid (TR 97/7). \newline \newline }} Court have rarely applied the accounting principle matching principles. \newline \newline * Exception for finance and insurance companies issuing discounted bills {[} Coles Myer Finance Ltd v FC of T{]}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.G Prepayment - s. 82KZL Exclusion}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679092454_82kzl.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{82KZL}} ► falls under sec 8-1 (Gen. Deduction) \newline SBE who have NOT CHOSEN to apply s. 82KZMD \newline INDIVIDUALS with non-business expenditures \newline \newline {\bf{Full Deductions}} if: (1) Expenditure relates to ESP =\textless{} 12 months (no greater than 12 mths); and \newline (2) Ends by 30 June of the ff income year \newline \newline {\bf{Prorata}} if: ESP \textgreater{} 12 months \newline ► Period in a year / ESP \newline \newline eg George Ind, with passive rental income} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.H Non-Commcl Bus. Loss - Div. 35}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679112588_COT test.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Division 35}} purpose - quarantine tax losses from non-commercial activity to prevent deductibility against unrelated assessable income (individual income). \newline \newline {\bf{Rules}}: 1. Carried Forward \& 2. Deducted from any future income from that activity. \newline \newline Applied to: (1) Individuals conducting a business (2) Sole Trader or Partner \newline {\bf{Does Not Apply}} To: (1) Passive Investment Income (2) Hobbies**} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.I Thin Capital'n \textgreater{} Debt:Equity Ratio}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679123611_thin cap.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Outward investor takes priority if also an inward investor (Foreign Controlled) \newline Debt attributed to foreign permanent establishment is excluded from adjusted average debt \newline Only Australian operations are subject to thin capitalisation rules \newline \newline {\bf{Debt Deduction (Interest \& Finance chargers) against Assessable Income in Australia}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.I Thin Capitalisation-Safe Harbour}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679123745_safe har.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.I Thin Capital'n-Safe Harbour}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679123828_sh calc.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Assets : Au Property 20x6 (\$50m) 20x7 (\$52m) \newline Au Plant 20x6 (\$5m) 20x7 (\$5m) \newline \newline Liability: Bank loan 20x6 (\$40m) 20x7 (\$40m) \newline Leave Prov 20x6 (\$1m) 20x7 (\$1m) \newline Interest Expense - \$3mil} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.I Thin \seqsplit{Capitalisation-Exceptions}}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679123920_sh - except.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Exception means {\bf{THIN CAPITALISATION DO NOT APPLY}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{4 cm} x{4 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m2.10C.I Thin Capitalisation - Definition}} \tn % Row 0 \SetRowColor{LightBackground} Inward Investor & Foreign investor with Au Branch \tn % Row Count 2 (+ 2) % Row 1 \SetRowColor{white} Inward Investor & Foreign Controlled Resident Entity \tn % Row Count 4 (+ 2) % Row 2 \SetRowColor{LightBackground} Outward investor; not Foreign Controlled & Resident Co. with single overseas branch \tn % Row Count 6 (+ 2) \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.11C Substantiation - Work Expenses (900-B)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679137539_WE_2.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6C Substantiation-Car Expense (900-C)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679137826_CE.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6C Substantiation -Car Expense (900-C)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679137901_CE BUS PERCENT.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.6C Substantiation - Bus Travel Exp (900-D)}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696171197_900d.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{►{\bf{NO Allowance - ALL Expense}} must be substantiated \newline ►If substantiation is required and no receipt is received from supplier - taxpayer can create the invoice only when: (1) Expense =\textless{}\$10 and (2) Max. =\textless{}\$200 p.a. \newline ►Can use bank statement if no date in the receipt \newline ►If nature of the expense not stated, taxpayer can enter details} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Depreciation Flowchart}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696503830_dep flowchart.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 Rental Properties Allowable Ded.}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696504248_rental.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 s.40-75(1) - Prime Cost Method-}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696589423_pcm.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Straight Line Depreciation \newline \newline First Year with second element} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 s.40-75(1) - Prime Cost Method - Change}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696297779_change prime.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Change Year}} \newline * Must adjust the formula in s.40-75(1) and it occurs in 2 situations: \newline 1. Recalculate effective life; or \newline 2. Include a 2nd element cost amount in a year after the installation year.. \newline \newline Effective Life = 9.17years \newline = 10 years -0.83 years (304/365)} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 s.40-72 - Diminishing Value Method}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696589323_dvm.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Can be used on Assets held post 9th May 2006 \newline Diminishing Value Method Not Eligible for intangible assets ({\bf{except for Copyright}}) \newline \newline First Year ► Base Value = Asset's Cost \newline Sub Years ► Base Value = Opening Adjustable Value + New Second Element Costs} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 s.40-72 Diminishing-Value Method}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Most intangible assets are not eligible for DVM.} \tn % Row Count 1 (+ 1) % Row 1 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{Tangible Asset (not acquired from associate) second-hand auction subject to DVM.} \tn % Row Count 3 (+ 2) % Row 2 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Tangible Asset (acquired from associate) so long that taxpayer is using DVM - continue using same method.} \tn % Row Count 6 (+ 3) % Row 3 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{Second element costs are not depreciated separately but form part of the base value.} \tn % Row Count 8 (+ 2) % Row 4 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Any changes to the effective life during a year affects the calculation for that entire year onwards – that is, that there is no pro-rata decline calculation for part of the year.} \tn % Row Count 12 (+ 4) % Row 5 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{{\bf{Key Notes}}} \tn % Row Count 13 (+ 1) \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 s40-72 Diminishing Value - Change}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696339709_diminishing value.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Sub Year ► {\bf{Base Value}} = Opening Adjustable Value + New Second Element Costs \newline = \$83,343 + \$5,000 \newline = \$88,343 \newline \newline For a Change of Effective Life = {\bf{Calculated for the Entire Year}}, \newline No prorata decline calculation for part of the year} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14 Depreciation Choice of Method}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696589149_dep choice.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBEs - Assets of \$300\textless{} s.40-80}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696551438_$300.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{1.44 cm} p{0.72 cm} x{2.52 cm} x{2.52 cm} } \SetRowColor{DarkBackground} \mymulticolumn{4}{x{8.4cm}}{\bf\textcolor{white}{m2.14 Non-SBEs Low Value Asset Pool}} \tn % Row 0 \SetRowColor{LightBackground} \seqsplit{Low-Cost} Assets (addon) & s. \seqsplit{40-425(2)} & cost \textless{} \$1,000.00 & (18.75\%) 1st yr of \seqsplit{available-for-use} \tn % Row Count 3 (+ 3) % Row 1 \SetRowColor{white} \seqsplit{Low-Value} Assets & s. \seqsplit{40-425(5)} & opening ajustable value (OAV) \textless{}\$1,000; more than \$300.00 & (37.50\%) previously depreciated while the opening ajustable value (OAV) \tn % Row Count 9 (+ 6) \hhline{>{\arrayrulecolor{DarkBackground}}----} \SetRowColor{LightBackground} \mymulticolumn{4}{x{8.4cm}}{*Low-Value Assets - assets subjected to Diminishing Value and later on the balance is \textless{}\$1,000.00 \newline \newline Pool Decline in Value (opening adjusted value) + Allocated Asset Decline in Value (newly add-on) \newline \newline {\bf{Balancing Adjustment}} -(sec 40-445) subtract the taxable used \% of the termination value from the closing balance. Pool Value cannot go below {\bf{ZERO}} and the balance goes to Assessable Income.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}----} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBEs Low Value Pool - Exercise}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1679397310_lvp.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Case: \newline Pool opening adjustable value (OAV) is \$20,000. \newline \$800 low-cost asset and low-value asset with OAV of \$800 added to pool, both with 80\% taxable purpose. \newline No second element costs incurred in the year. \newline One pooled asset used 50\% for a taxable purpose sold this year for \$200.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{p{0.8 cm} p{0.8 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBEs Low-Value Asset Pool}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{} \tn % Row Count 0 (+ 0) \hhline{>{\arrayrulecolor{DarkBackground}}--} \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Key Notes: \newline Remember that low-cost or low-value assets can be allocated to the pool. \newline In the year in which they are added, the decline in value is calculated using a rate of 18.75\% for low-cost assets and 37.5\% for low-value assets. \newline Any second element costs to either of these assets declines at 18.75\% in that year of entry. In subsequent years, the pool decline is calculated using a rate of 37.5\% on the opening pool balance.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Software Development Pool}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696553059_software.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Intangibles Effective Life \newline {\emph{ In-house software = 5 years \newline }} Registered design = 15 years \newline \newline Acquired asset from associates - use the same} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBEs Balancing Adjustment}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696547935_bae.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{(Subd 40-D)}} \newline {\bf{Assessable Income}} = Termination Value \textgreater{} Adjustable Value \newline {\bf{Deduction}} = Termination Value \textless{} Adjustable Value \newline \newline *Reduced for any non -taxable use of asset \newline \newline Termination Value s40-300 \newline 1. Generally, what you receive in respect of the event (sales proceed or insurance claim) \newline 2. Can be deemed market value (when not dealing at arm's length)} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBE- Relief Involuntary Disposal}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696505553_relief.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Rollover Relief}} \newline {\emph{ Available where depreciating assets are transferred bet certain related entities (and CGT rollover relief is available) \newline }} Rollover relief simply ignores a balancing adjustment (deferred) \newline * The tax attributes are transferred to another entity along with the asset.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.14D Non-SBEs Rollover Relief}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696548637_rollover.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.15D Temporary Full Expensing - Covid19}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696553482_tfe.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.16D Project Pool Expenditure}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696505932_project.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.17D Non-SBE Blackhole Expenditure}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696505812_blackhole.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{s40-880(2)}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.17D SBEs - Blackhole Expenditures}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696547545_blk.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Normally Blackhole Expenditures is spread over 5 years. \newline \newline {\bf{SBE start-up costs can deduct in year incurred.}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{x{4 cm} x{4 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m2.18 SBEs - Capital Allowances (optional)}} \tn % Row 0 \SetRowColor{LightBackground} Simplified Asset Pooling & Small Business Asset Pool \tn % Row Count 2 (+ 2) % Row 1 \SetRowColor{white} Immediate Write-Off for Low-Cost Assets & cost threshold - asset costing {\bf{less than \$150k}} \tn % Row Count 5 (+ 3) % Row 2 \SetRowColor{LightBackground} Temporary Full Expensing (TFE) - 06 Oct 2020 7:30pm & Covid19 temporary measure- to be fully written off irrespective of its balance (2020-21, 2021-22 \& 2022-23) \tn % Row Count 11 (+ 6) \hhline{>{\arrayrulecolor{DarkBackground}}--} \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Requirements: \newline * it carries on a business that year; and \newline * its aggregated {\bf{turnover is less than \$10 million}}. \newline Relevant Considerations: \newline * What is the taxable use percentage for the relevant assets? \newline * Does the taxpayer have existing assets that have previously been depreciated? \newline * Are new assets at or below the threshold for immediate write-off \newline * What are the permitted rates of decline for pooled assets?} \tn \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.18D SBE Cap Allow - Diagram}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696666102_cap allow diagram sbe.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.18 SBE Capital Allowances}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696414135_sbe_v2.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.18 SBE Capital Allowance - Close Pool Balance}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696414876_sbe pool bal end.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{* if the Terminated Value puts the Closing balance to Zero = the excess will be included in Assessable Income \newline   \newline * If the Closing Pool Balance is \textless{} the instant asset write-off threshold (\$150k) ► Immediate Deduction} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.18 SBE Capital Allow - First Elect for SBE Pool}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Rates}}: \newline \newline 15\% - used for assets in the {\bf{first year}} they are allocated \newline 30\% - decline rate for {\bf{pool opening balance}} \newline 18.75\% - low-value pool decline rate when low-cost assets are {\bf{initially pooled}}. \newline 37.5\% -30\% - low value pool rate applied to the {\bf{previous year's closing pool}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.18D Capital Allow - SBE First Elect}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696669184_sbefelect.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{p{0.8 cm} p{0.8 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m2.19 Capital Works (ITAA97 Div 43)}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Buildings or extensions including alterations or improvements to the building} \tn % Row Count 2 (+ 2) % Row 1 \SetRowColor{white} \mymulticolumn{2}{x{8.4cm}}{Alterations and improvements to leased buildings including shop fittings} \tn % Row Count 4 (+ 2) % Row 2 \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Driveways, fences and retaining walls} \tn % Row Count 5 (+ 1) % Row 3 \SetRowColor{white} \mymulticolumn{2}{x{8.4cm}}{Earthworks} \tn % Row Count 6 (+ 1) \hhline{>{\arrayrulecolor{DarkBackground}}--} \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Div 43 - Capital Works - Generally - {\bf{SUBJECT from CGT}} \newline \newline Div 40 - Capital Allowances ►{\bf{ EXEMPT from CGT}} (if fully used for taxable purposes)} \tn \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.19 Capital Works - Formula}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696423264_cap work formula.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{{\bf{Deduction Rate}} is based on the {\bf{date construction commenced}} but \newline \newline {\bf{Deductions}} are {\bf{only available}} from the *Date Construction was {\bf{completed}} (assuming the asset is used for income producing or R\&D)} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.19D Rate of Deduct - Capital Works}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696668501_capwork rate.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.21E Trading Stock - Adjustment s.70-35}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696429687_trading stock.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Stock {\bf{Closing}} \textgreater{} Opening ► Adjusted to {\bf{Assessable Income}} \newline Stock Closing \textless{} {\bf{Opening}} ► Adjusted to {\bf{Deductions}} \newline \newline Stock On Hand Valuation on each item/per item: \newline 1. at cost \newline 2. at market selling value \newline 3. at replacement value} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.21E Trading Stock - Exercise}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696673798_ts exer.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.24E Trading Stock - Special Rule}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696672426_ts srule.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.24E Trading Stock - SBE Concession}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696673592_ts concession.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.25E International Transactions Process}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696435471_transfer price.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{if there's a transfer price benefit, the Commissioner will substitute the arm's length price for tax purposes: \newline 1. taxable income - income tax \newline 2. capital gains/losses - that attracts CGT} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.26 Double Tax Arrangement - DTA}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696675145_dta.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.27E Withholding Tax Regime}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696675372_wtax.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.27E Foreign Resident CGT Withholding - Exercise}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696676600_cgtwtax.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Rates Applied: \newline \newline *Capital Gains = {\bf{12.5\%}} (contract price \textgreater{}= \$750k) if foreign resident seller} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Foreign Currency Conversion}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696678546_forex.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Forex REalisation Event (s.775)}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{5 MAIN TYPE OF FRE (FOREX REALISATION EVENTS):} \tn % Row Count 1 (+ 1) % Row 1 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{1. FRE 1 – when you dispose of FX, or a right to receive FX, to another entity.} \tn % Row Count 3 (+ 2) % Row 2 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{2. {\bf{FRE 2}} – when you cease to have a {\bf{right}} to receive FX (otherwise than through disposal to another entity).} \tn % Row Count 6 (+ 3) % Row 3 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{3. FRE 3 – when you cease to have an obligation to receive FX.} \tn % Row Count 8 (+ 2) % Row 4 \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{4. {\bf{FRE 4}} – when you cease to have an {\bf{obligation}} to pay FX.} \tn % Row Count 10 (+ 2) % Row 5 \SetRowColor{white} \mymulticolumn{1}{x{8.4cm}}{5. FRE 5 – when you cease to have a right to pay FX.} \tn % Row Count 12 (+ 2) \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{s775 - Forex Realisation is under a Revenue Account: \newline 1. Forex {\bf{Gain}} ► {\bf{Assessable Income}} \newline 2. Forex {\bf{Loss}} ► {\bf{Deductions}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Forex Tax Treatment - FRE}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696679024_fre.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Forex Realisation Event - \#02}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696436353_forex gain.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Events arise from: \newline 1. the {\bf{Right}} expires - e.g., withdrawal from the foreign currency-denominated account \newline 2. the {\bf{Right to Receive}} is extinguished. cash is received from overseas debtor under sales contract denominated in foreign currency.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{X} \SetRowColor{DarkBackground} \mymulticolumn{1}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Forex Realisation Event - \#04}} \tn \SetRowColor{LightBackground} \mymulticolumn{1}{p{8.4cm}}{\vspace{1px}\centerline{\includegraphics[width=5.1cm]{/web/www.cheatography.com/public/uploads/ranele15_1696436957_forex event4.JPG}}} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \SetRowColor{LightBackground} \mymulticolumn{1}{x{8.4cm}}{Event Sample: \newline 1. the {\bf{Obligation}} expires \newline 2. the Forex currency is {\bf{Paid}} e.g. Obligation to pay is extinguished.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}-} \end{tabularx} \par\addvspace{1.3em} \begin{tabularx}{8.4cm}{p{0.8 cm} p{0.8 cm} } \SetRowColor{DarkBackground} \mymulticolumn{2}{x{8.4cm}}{\bf\textcolor{white}{m2.29E Exception to Div 775}} \tn % Row 0 \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{} \tn % Row Count 0 (+ 0) \hhline{>{\arrayrulecolor{DarkBackground}}--} \SetRowColor{LightBackground} \mymulticolumn{2}{x{8.4cm}}{Short-term forex gains and losses on the acquisition of capital assets are an exception to the Division 775 rules and the gain instead will reduce the cost base (and reduced cost base) of the capital asset. For non-depreciating capital assets, this is the case when the time between the date of acquisition and the due date for payment is less than 12 months.} \tn \hhline{>{\arrayrulecolor{DarkBackground}}--} \end{tabularx} \par\addvspace{1.3em} % That's all folks \end{multicols*} \end{document}