Other ATO Developments
Company formation expenses
09.01.2009
An interpretative decision has been released which is to the effect that no proportion of the costs incurred by the proposed initial shareholders of a company in respect of establishing the company is included in the first element of the cost base of each of the shareholder’s initial shares (ID 2009/1). The expenditure was for the services provided to assist in establishing the company; it was not in respect of the acquisition of the shareholder’s initial shares.
Also, no part of the amount paid to assist in the company registration process is included in any other element of the cost base of the shares acquired by the initial shareholders.
