Partners in partnership
If you carry on business in partnership you may be eligible for the concessions provided the partnership meets the $2 million aggregated turnover test. The conditions for eligibility depend on whether the asset being used in the partnership business is:
- your interest in an asset of the partnership (partnership asset), or
- an asset that you own that is not an interest in an asset of the partnership (partner’s asset).
If your asset is not an interest in an asset of the partnership, you must not carry on any other business other than the partnership business.
You do not need to be connected with the partnership to use either of these basic conditions. However when working out the partnership’s aggregated turnover, there is a special rule for partner’s assets whereby:
- any entities that are connected or affiliated with you will be taken to be connected or affiliated with the partnership
- if you are a partner in other partnerships that also use that asset in their business, those partnerships will be taken to be connected with each other.