Changes to Entrepreneurs' tax offset

Changes to the Entrepreneurs' tax offset apply additional income testing to the eligibility criteria for individuals became law on 3 June 2010 and will apply from 1 July 2009.

The broad changes include:

  • From the 2009-10 income year, the amount of ETO payable for individuals in respect of partnership or sole trader activities or income from a trust is reduced if the income for ETO purposes exceeds the relevant threshold.
  • Under the new income test, the ETO amount will be reduced where the income for ETO purposes exceeds the following thresholds:
    - $70,000 for singles
    - $120,000 for families.

Copyright 2014. My Tax Zone.