Thinking of selling your business...
Looking at selling your business? You might avoid capital gains tax altogether if it is operating still at the point of sale. The concept of a “going concern” exemption for the purposes of the goods and services tax (GST) can still cause confusion when businesses are sold.
The sale of a business may be GST exempt if the enterprise is deemed to be a “going concern” — which refers to an enterprise’s ability to continue trading. The ATO says a supply of a going concern occurs when:
“a business is sold, and that sale includes all of the things that are necessary for the business to continue operating”, and the business is carried on, “up until the day of sale”.