Invest in a Seachange

How it works . . .

The Australian Charter Boat Industry currently operates under tax ruling TR 2003/2004.  This ruling requires each vessel within a charter boat fleet to operate as its own individual business and therefore must pass the ATO's business test.

What this can mean for you . . .

• You as a potential investor are required to prepare a business plan. The business plan needs to demonstrate that your investment (vessel) has a realistic expectation of profit over the life of the business.
• You need to consider how you will finance this venture; if you borrow what finance payments there will be and the decline in value of your investment (vessel) over the life of your business plan.
• You as an investor are entitled to a GST rebate on the purchase price of the boat.
• To comply with ATO regulations you would need to be involved with the running of your investment as a genuine business and participate in decisions with Tropic Sail relating to any maintenance and setting of seasonal charter rates.
• You are still able to use your vessel for private use, provided you document any time and adjust your tax return accordingly.
• As with other business investments, depreciation on assets may be claimed and offset against your vessels and any other income you may have.

What you can do now . . .

>Contact our Managing Director Shaun Watson for more information and to discuss what vessel would suit you and work to its highest potential in the Tropic Sail fleet. Contact Shaun at info@tropicsail.com.au or phone him on 0412 012 200.

>Talk to your own financial adviser. Keep in mind that charter boat investment is a specialised field so try to find someone who fully understands the tax implications in relation to this type of investment.

>Visit the ATO web link to find out more

>Look at what Benefits are in it for you

>Check out a Testimonial from a current Tropic Sail Investor