Tower Systems has several businesses in our client base that have been drought affected. We have reached out with help and resources to assist. We have also spoked with government agencies to understand the resources available so that we can connect our customers with these as appropriate.
One such resource for drought affected small businesses is through the ATO, the Australian Taxation Office. Here are some details of their drought assistance eligibility criteria:
To work out if you are eligible for small business entity concessions, you first need to work out if you are a ‘small business entity’ in an income year. You must review your eligibility each year to check if you are able or required to use a particular concession.
From 1 July 2016, you are a small business entity if you are a sole trader, partnership, company or trust that:
- operates a business for all or part of the income year, and
- has an aggregated turnover less than $10 million (the turnover threshold).
From here on, when we say:
- ‘small business’, we mean ‘small business entity’
- ‘turnover’, we mean ‘aggregated turnover’.
From 1 April 2017, the turnover threshold for fringe benefits tax (FBT) concessions increased to $10 million.
The $10 million turnover threshold applies to most concessions, except for:
- the small business income tax offset, which has a $5 million turnover threshold
- the capital gains tax (CGT) concessions, which continue to have a $2 million turnover threshold.
For previous income years, you are a small business if your turnover is less than $2 million.
Find out about:
- Work out if you’re a small business for the income year
- Aggregation – for more on aggregated turnover
- Definitions – the terms used to explain small business entity concessions
Are you in business? – determine the differences between a hobby and a business for tax purposes
Our Tower Systems POS software company helps small business retailers in a range of practical ways from direct assistance to operational assistance. We do this because we believe in small business and because we are grateful to be in a position where we can help. Gratefulness is best expressed through practical help in our view.