Tools to tune your structure

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Running Time: 8:44

Date: 01/07/2014

Changing a business structure? Here are some ways your clients can protect their assets without a hefty tax bill.

Sometimes the business structure a client started out on is no longer suitable, but making a change can incur a tax burden that they'd rather do without. So what should they do? Michael Jones says it comes down to applying the right tools, and there are several options.

Take roll-overs, for example: if a client is an individual, they can roll their assets into a company in exchange for shares, and without tax consequences. The same applies with trusts.

Then there are the small business CGT concessions - again, they allow clients to move assets without paying tax. There's tax consolidation, and even the superannuation rules provide opportunities to change asset ownership tax-free.

But of course, your clients must act within the rules in all cases. Michael Jones explains more.