The How and Why of the special treatment given to Primary Production Business activities

 Primary production business defined.

 Primary Production business income: what is it?

Primary production - is it being carried on as a business 

Cattle leasing is it a business?

Forestry schemes are they a business?

Primary production activities - what the Commissioner thinks

 Averaging of income.

Average income rebate - primary producers - the 5 year average period

Average income rebate - primary producers - what income qualifies

Average income rebate - primary producers - applying the formula

 Trading stock.

 Primary Production - livestock accounts - the law

 Primary Production - livestock accounts - the practice

 Primary Production - produce account - wool

Primary Production - produce account - wheat

 Disposal of trading stock, crops, crop stools and trees = income

Forced disposal of livestock - spreading the burden - sec 385-95

Insurance recoveries - primary production income - sec 385-130

Wool Clip no.2 due to fire/drought/flood returned next year-385-135

 Capital allowances for primary producers

Landcare operations allowed in full

Facilities to conserve or convey water written off over 3 years

Cost of establishing grapevines written off over 4 years

Cost of horticultural plant written off over life of plant

Cost of connecting to mains electricity written off over 10 years

Cost of telephone lines written off over 10 years

Cost of forestry roads and timber mill buildings written over life

Business Income topics |apprentice tax practitioner program | tax law