Q: I’m interested in the small business capital gains tax concessions where the government has increased the turnover test from $2 million to $10 million, and in particular, the ability to contribute more into superannuation. I operate a small business through a company, of which I am the sole shareholder and director. The business turnover is approximately $5 million a year, and its net profit is approximately $1 million a year. My net assets, including the business, exceed the $6 million asset test. If I sell my shares in the company, might I be able to access the small business CGT concessions? – FrankA: When governments change rules like the recent CGT overhaul, the effects rarely stay in one lane – they can flow on to other entitlements. The small business CGT concession is a case in point. But the short answer to your question, says Garth Drinkwater, managing director of Small Business CGT Concessions Specialists, is that owning the business through a company changes the answer, and the lift to $10 million does far less for you than the headlines suggest.Subscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? Fetching latest articles
Why the new $10m CGT small business threshold won’t help your super
The higher turnover test applies to only one of four small business concessions, leaving the rules that allow extra funds into super completely unchanged.







