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Paul.G
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JamesMillar, post: 269288, member: 5318 wrote:
you might want to speak with an accountant to understand the longer term tax implications – namely if you have a company because tax free to the company does not mean tax free to the shareholder when you take it out. It would be an unfranked dividend

it’s OK. I found it in the end, you would account for it as ‘other income’ NANE in your accounting software so it would appear in your financial statements. You would then include it as a reconciling item in the entity’s return.

For the benefit of other members here it is.

Q Other income not included in assessable income

Write at Q income-related adjustments that have to be subtracted from T Total profit or loss item 6 to reconcile with T Taxable income or loss item 7. Do not include again amounts included at C Section 46FA deductions for flow-on dividends to V Exempt income item 7 here.

Generally, the amounts that are included at Q are income for accounting purposes, but not assessable for income tax purposes.

other amounts of non-assessable non-exempt income (do not include demerger dividends or other amounts not shown at item 6)

https://www.ato.gov.au/Forms/Company-tax-return-instructions-2019/?page=11#QOtherincomenotincludedinassessableincom