The ATO knows that many business owners naturally help themselves to their trading stock and use it for their own purposes. This common practice can occur in businesses such as butchers, bakers, corner stores, cafes, wine shops and more.
The ATO regularly issues guidance for business owners on the value it expects will be allocated to goods taken from trading stock for private use. The table below shows these values for the 2018-19 income year, taken from Taxation Determination TD 2019/2.
|Type of business||Amount (excluding GST) for adult/child over 16 years||
(excluding GST) for child 4-16|
|Takeaway food shop||$3,430||$1,715|
|Mixed business (includes milk bar, general store and convenience store)||$4,260||$2,130|
The basis for determining values is the latest Household Expenditure Survey results issued by the Australian Bureau of Statistics, adjusted for CPI movements for each category.
Note that the ATO recognises that greater or lesser values may be appropriate in particular cases, and where you are able to provide evidence of a lower value, this should be used.