Your tax offset is the sum of your tax offsets worked out based on your contributions to the ESVCLP. You may be entitled to the ESVCLP tax offset if you contributed to an ESVCLP as:
- a limited partner of the ESVCLP or
- through a partnership or a trust.
If you are a limited partner of an ESVCLP, the amount of the offset you may be able to claim is up to 10% of the lesser of the following:
your total contribution to the ESVCLP during the income year (certain exclusions apply), and
your share (based on your interest in the entire capital of the ESVCLP at the end of the income year) of the sum of eligible venture capital investments made by the ESVCLP during the income year and within two months after the end of the income year.
Work out the amount of the tax offset you are entitled to by referring to ESVCLP tax incentives and concessions on the ATO website.
If you are an investor through a partnership or a trust which is itself a limited partner of an ESVCLP, the partnership or the trust will provide you with details of your entitlement to the offset arising from the partnership’s or trust’s investment.
This tax offset is non-refundable and can be carried forward if it is not utilised fully in the current income year.
Use the Early stage venture capital limited partnership worksheet (esv) to record details and to maintain and carry forward any excess offset.
Your notice of assessment or amended notice of assessment for the previous year, should show if you have any unused ESVCLP tax offset that is carried forward to the current year.
- Any unused ESVCLP tax offset carried forward from the previous year may need to be adjusted for any net exempt income.
- The unused ESVCLP tax offset carried forward from a previous year is reduced by 30 cents (27.5 cents for SBEs) for every dollar of unused net exempt income, provided you had taxable income for that year.
- Unused net exempt income is any net exempt income left after deducting any tax losses of earlier income years from that year's net exempt income.