Tax Accounting and Livestock in Australia
This article provides a comprehensive examination of the tax accounting treatment of livestock in Australian primary production businesses. Contrary to the established practice of categorising all livestock as trading stock, the authors propose an alternative approach, advocating for the recog...
| Main Authors: | , |
|---|---|
| Format: | Journal Article |
| Language: | English |
| Published: |
The Tax Institute
2024
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| Online Access: | http://hdl.handle.net/20.500.11937/94720 |
| _version_ | 1848765904752476160 |
|---|---|
| author | Fullarton, Lex Pinto, Dale |
| author_facet | Fullarton, Lex Pinto, Dale |
| author_sort | Fullarton, Lex |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | This article provides a comprehensive
examination of the tax accounting treatment
of livestock in Australian primary production
businesses. Contrary to the established practice
of categorising all livestock as trading stock,
the authors propose an alternative approach,
advocating for the recognition of stud or breeding
livestock as capital assets. Through a thorough
investigation of historical legal cases, particularly
FCT v Wade, and legislative changes such as the
repeal of s 17 of the Income Tax Assessment Act
1922, the authors challenge the current viewpoint
upheld by the ATO since 1951. They suggest
practical measures for tax preparers to capitalise
breeding animals, enabling them to benefit from
CGT concessions. Despite potential challenges in
record-keeping and expense deduction, the study
emphasises the financial advantages and fairness
in aligning tax treatment with the true nature of
livestock in primary production businesses. |
| first_indexed | 2025-11-14T11:42:40Z |
| format | Journal Article |
| id | curtin-20.500.11937-94720 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T11:42:40Z |
| publishDate | 2024 |
| publisher | The Tax Institute |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-947202025-01-28T01:13:01Z Tax Accounting and Livestock in Australia Fullarton, Lex Pinto, Dale This article provides a comprehensive examination of the tax accounting treatment of livestock in Australian primary production businesses. Contrary to the established practice of categorising all livestock as trading stock, the authors propose an alternative approach, advocating for the recognition of stud or breeding livestock as capital assets. Through a thorough investigation of historical legal cases, particularly FCT v Wade, and legislative changes such as the repeal of s 17 of the Income Tax Assessment Act 1922, the authors challenge the current viewpoint upheld by the ATO since 1951. They suggest practical measures for tax preparers to capitalise breeding animals, enabling them to benefit from CGT concessions. Despite potential challenges in record-keeping and expense deduction, the study emphasises the financial advantages and fairness in aligning tax treatment with the true nature of livestock in primary production businesses. 2024 Journal Article http://hdl.handle.net/20.500.11937/94720 English The Tax Institute restricted |
| spellingShingle | Fullarton, Lex Pinto, Dale Tax Accounting and Livestock in Australia |
| title | Tax Accounting and Livestock in Australia |
| title_full | Tax Accounting and Livestock in Australia |
| title_fullStr | Tax Accounting and Livestock in Australia |
| title_full_unstemmed | Tax Accounting and Livestock in Australia |
| title_short | Tax Accounting and Livestock in Australia |
| title_sort | tax accounting and livestock in australia |
| url | http://hdl.handle.net/20.500.11937/94720 |