Can you recommend good accountant with knowledge of domains?
Last one I've met charged me $400 for 1.5 hours which I've spent explaining what is domain and how come I'm buying and selling something which she can't see and touch.
Yeah but as a result of this is the asset then considered working capital?What it meant was that I couldn't consider the carparts.com.au purchase as an expense to drop my profit and minimise tax.
If this is the case are you planning to argue that the if you were to sell the "asset" and yield a capital gain, but have held the asset for over a year that you are eligible for a 50% reduction in tax payable on the capital gain?
What is it you are trying to work out with your accountant regarding domains pacifier?
I had done a bit of research into how any dropped domains worked out for my company and it seemed that they are classed as asset purchases (both the bid price and the initial registration fee). What it meant was that I couldn't consider the carparts.com.au purchase as an expense to drop my profit and minimise tax.
I had the tax man coming to my office and according to him you buy domain you record it as expense, you sell the domain you record it as income. Seems that nobody knows for sure. There are no tax rulings which clarify the matter.