I own a small Proprietary Limited company, and I'm hosting an opening party on August 31, 2023, the night before the official launch of my bicycle store. At the party, a lucky door prize will be awarded to a guest, which consists of alcohol costing $165. I've invited 40 guests, who are suppliers, not employees. Can I claim the cost of this gift as a tax deduction?
Howdy @JMAM,
Yes, you can claim the cost of the lucky door prize as a tax deduction.
Gifts to clients or suppliers that are not considered entertainment are generally tax-deductible.
The cost of the gift ($165) is below the $300 minor benefits exemption threshold. Which means it is not subject to Fringe Benefits Tax (FBT).
You can claim a GST credit for the GST included in the cost of the gift, provided you have a valid tax invoice.
Howdy @JMAM,
Yes, you can claim the cost of the lucky door prize as a tax deduction.
Gifts to clients or suppliers that are not considered entertainment are generally tax-deductible.
The cost of the gift ($165) is below the $300 minor benefits exemption threshold. Which means it is not subject to Fringe Benefits Tax (FBT).
You can claim a GST credit for the GST included in the cost of the gift, provided you have a valid tax invoice.
Howdy @JMAM,
Yes, you can claim the cost of the lucky door prize as a tax deduction.
Gifts to clients or suppliers that are not considered entertainment are generally tax-deductible.
The cost of the gift ($165) is below the $300 minor benefits exemption threshold. Which means it is not subject to Fringe Benefits Tax (FBT).
You can claim a GST credit for the GST included in the cost of the gift, provided you have a valid tax invoice.
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