iscover
Offering incentives via additional spare parts or even training packages has been a standard selling policy for the world's airframe manufacturers since the • days of the DC-2. Now however, Australian operators will have to watch carefully how they approach these internationally accepted incentives due to recent changes by the Australian Taxation Office. Depicted is an Embraer Brasilia, which like all aircraft in its class is available with an attractive and very useful support programme
Law Watch – Manufacturers’ Credits Under Threat
0 comment
What the Tax Man Tafflh Away – Assessing Manufacturers’ Credits
The Australian Taxation Office (ATO) may have dealt a severe blow to manufacturers’ efforts to sell and lease new aircraft in Australia’s already struggling market if a recently issued Draft Taxation Ruling becomes final.
The ruling clarifies the ATO’s position that incentives or manufacturers’ credits which are often given to buyers by aircraft manufacturers are taxable. These credits are usually given to a buyer when it enters into an agreement to buy or confirms a specific order for a new aircraft.
A manufacturer’s credit is generally in the form of a credit memorandum. Such a memorandum will be for a specific order for goods or services and usually becomes available when the goods and services are delivered.
This content is available exclusively to Australian Aviation members.
A monthly membership is only $5.99 or save with our annual plans.
- Australian Aviation quarterly print & digital magazines
- Access to In Focus reports every month on our website
- Unlimited access to all Australian Aviation digital content
- Access to the Australian Aviation app
- Australian Aviation quarterly print & digital magazines
- Access to In Focus reports every month on our website
- Access to our Behind the Lens photo galleries and other exclusive content
- Daily news updates via our email bulletin
- Unlimited access to all Australian Aviation digital content
- Access to the Australian Aviation app
- Australian Aviation quarterly print & digital magazines
- Access to In Focus reports every month on our website
- Access to our Behind the Lens photo galleries and other exclusive content
- Daily news updates via our email bulletin
Want to see more stories from trusted news sources?
Make Australian Aviation a preferred news source on Google.
Click here to add Australian Aviation as a preferred news source.
