Private unit trusts are:
Investors in ostrich and emu farming ventures fall into three categories, described in the following table.
More ? [3]
Investor |
Description |
Speculative investors |
These investors buy chicks or juvenile birds which are:
The Australian Taxation Office:
|
Share farming investors |
These investors purchase birds, but instead of selling them after 2 years, enter into a share farming arrangement with the farmers. This involves an agreement where:
The ATO:
|
Investors in a managed investment scheme |
These are investors whose funds are pooled and who do not hold specific livestock as their own investment asset. The investment scheme must comply with Australian Securities Commission requirements for the registration and issue of a prospectus. |
Participation in afforestation schemes typically involves purchasing an identified parcel of trees:
The promoter of the afforestation scheme:
The ATO treats profits, losses, and business expenses under business rules. ATO Ruling IT 360 outlines the ATO position that, 'where a person alone or in association with others acquires an interest in an identifiable area of land and enters into an agreement to have that land developed, planted, and maintained by a management company for the purpose of growing forest trees it is accepted that the person may be carrying on a business of afforestation'.
Links
[1] https://clik.dva.gov.au/user/login?destination=node/16047%23comment-form
[2] https://clik.dva.gov.au/book/export/html/16047#tgt-cspol_part9_ftn522
[3] https://clik.dva.gov.au/book/export/html/16047#tgt-cspol_part9_ftn523
[4] https://clik.dva.gov.au/book/export/html/16047#tgt-cspol_part9_ftn524
[5] https://clik.dva.gov.au/compensation-and-support-policy-library/part-9-principles-determining-pension-rate/95-deeming-provisions/956-deeming-managed-investments/deemed-income-other-managed-investments
[6] https://clik.dva.gov.au/book/export/html/16047#ref-cspol_part9_ftn522
[7] https://clik.dva.gov.au/book/export/html/16047#ref-cspol_part9_ftn523
[8] https://clik.dva.gov.au/book/export/html/16047#ref-cspol_part9_ftn524