Please reload

Recent Posts

Tax incentive for angel investors in start-ups

February 6, 2019

For more than two years now (from 1 July 2016) two key tax incentives have been available for investors considering putting their money behind qualifying start-up businesses - or as the ATO has dubbed them, early stage innovation companies (ESICs).

The incentives provide eligible taxpayers who invest in new shares in an ESIC with:

 

(1) a non-refundable carry forward tax offset equal to 20% of the amount paid for their qualifying investments.  This is capped at a maximum tax offset amount of $200,000 for "sophisticated" investors and $50,000 for non-sophisticated investors (more below) each income year.

 

(2) modified CFT treatment. Under this incentive, capital gains on qualifying shares that are continuously held for between one and 10 years may be disregarded. However capital losses crystallised on share held for less than 10 years are also disregarded.

 

Read more in our latest newsletter

 

 

Share on Facebook
Share on Twitter
Please reload

Please reload

Archive

Welcome to JBG Accounting's monthly tax and superannuation newsletter - you should find the information interesting, informative and easy to read.

© Content in partnership with

Taxpayers Australia

© 2016 JBGAccounting                          Site by SambaDog Creative
  

Liability limited by a scheme approved under Professional Standards Legislation

02 4088 8008

0414 729 436

2/50 Regent Street, New Lambton, NSW 2305

  • LinkedIn - Black Circle
  • Facebook Social Icon