Private use of business stock

Oct08

Private use of business stock

Flor- Hanly - Tuesday, October 08, 2019

Using stock for private use

If you take items of trading stock for your own use, you need to record the value of the stock (excluding GST) so you can include it as part of your assessable income in your income tax returns.

Including this amount may help prevent you from falling outside of the ATO's small business benchmarks. If you cannot provide records, you can use the ATO's estimates which they update annually for the following industries:

  • bakery
  • butcher
  • restaurant/café
  • caterer
  • delicatessen
  • fruiterer/greengrocer
  • takeaway food shop
  • mixed business (includes milk bar, general store and convenience store).
If your industry isn’t represented in the benchmarks, you can use the information in the ATO's annual publication, Taxation Statistics.

Manage your tax effectively with Flor-Hanly Accountants

Flor-Hanly works proactively with our commercial and agribusiness clients to make sure that they are not only meeting their taxation obligations, but also to make sure they are not paying too much tax.

Contact our accounting team in Mackay on (07) 4963 4800 or email us to arrange a complimentary discussion about how we can work with you.

Source: ATO



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