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You are correct. It is not available unless the owner operates a business. Rental income is generally referred to as passive income. The exception is a rental business...this would involve SUBSTANTIAL properties.

The legislation is being bought to Parliament this week. I believe the oppn don't oppose this change BUT if its contained in a bill that includes changes the ALP oppose then the whole lot could be stalled.

Art does depreciate according to the ATO effective life tables. Unless its a CGT asset (Monet etc) Treasury and ATO have already come out and explained that businesses would be expected to use these assets in the course of their business to avoid a concern. ie Publically displayed, used in...

Correct -- There is more to it than that. Lets break it down. IMO I believe you can buy a vehicle that costs $25,880 PLUS Rego / CTP this side of 30 June if its a trade use vehicle, you are reg for GST + its not subject to a logbook and you meet all the small business tests. One catch. It...

A business of constructing ? Then its part of trading stock and not eligible. Constructing then holding ?? ....Dangerous. A business of investing ? Many many properties ? Maybe even a whole apartment block. And an ABN ? And CGT isn't a issue to you ? A business might not fall under CGT rules...

No. Not a business. $300 limit applies which is far les than $20K. Page 16 of the bible https://www.ato.gov.au/uploadedFiles/Content/MEI/downloads/ind39784n17290614.pdf

Let me share a idea a person suggested today. Its so stupid..... Buy a $20K car today. Then trade it in for a $40K car tomorrow paying a further $20K. Then sell trade it a few days later for a $60K. You can then claim $20K X three right ??? So you can buy a $60K car and its 100% deductible...

Almost right. 12 continuous weeks. I had a client proudly show me his logbook he hated completing for a 11 week period. https://www.ato.gov.au/Business/Income-and-deductions-for-business/Business-travel-expenses/Motor-vehicle-expenses/Calculating-your-deduction/Keeping-a-logbook/

The taxpayer may need to prepare a new logbook where their pattern of use is considered to have changed. That said, there is no obligation as such. ;) Common example where a new logbook may be needed is where a different employer or job role exists. While travel to from clients may be part of...

Tick. Primary producer. That's different.

Fencing isn't eligible plant & equipment.

And adjusted for private use.

Assuming that pooling has been used.

Yes and No. Tangible assets have always been a balancing adjustment. I have seen some foolish people structure their sale so that written off assets are sold at market value. (Buyers like that) This makes the "profit" on those business assets taxable as ordinary income and REDUCES the CGT...

Gillard had a temporary increase for w/off to $6500 for a time but that ended and went back to $1K during 2014. Without this change assets costing $1,000+ would be depreciable in a pool at 15% for year one and thereafter 30% pa.

1. Its a tax deduction. Deduction only really work if there is a profit. Profit falls. Tax falls. If no profit then the loss just grows. 2. You don't claim it as such like its a cash refund. The expenditure can be written off after last night when it occurs. So if you go to Tool City tomorrow...

Possibly. If you are using pooling and are a small business and subject to the law being enacted !!

My best advice would be to seek personal tax advice. Try not to spend money to reduce tax (or increase a loss). Tax planning is often a great (small) investment so you understand direction and strategies to help you long term.

Yes but that means the value of the deduction is worth less. Remember tax scales are progressive. As income rises the additional income is progressively taxed at higher rates. The marginal rate is the important fact. That's the rate that applies to that specific deduction.

There appears not to be a "new asset"" requirement mentioned in the Treasury papers but this could be included in later tax law. I doubt it however. Personal assets could be sold to the company for example but take care that deductions hadn't been claimed or some tax issues may result. It may be...