Valuing Livestock – Tax Refund On Spot

Value of livestock is required to calculate to determine your net income from your primary production which is calculated at the end of each year.

You can choose to value livestock at cost, market selling value or replacement value. An additional option is available for certain horse breeding stock.

You can change the valuation every year, and also you may use different method for valuation for different stock in the same year.

On the other hand, the value of your opening livestock must be same as the value of your closing stock for the previous year. That means that you must have to use same method which you used in beginning to end of the year.

Rules are apply to small businesses – simplified trading stock rules

You won’t be able to calculate each iteam of trading stock on the hand of each financial year

If you have:

  • you are a small business
  • the main differentiation between the value of all your trading stock at the beginning of the financial year and the value you reasonably estimation of all your trading stock at the end of the income year is $5,000 or less.
  • valuing goods taken from stock for private use
  • valuing natural increase
  • oyster farmers
  • beekeepers

For more information on online tax return 2020, Tax Return 2020, myGov 2020, myTax 2020 or any other tax related matter, please call our professional accountant on 1300 768 284 or you can email us at enquiry@taxrefundonspot.com.au