Fundamentals of Tax 2025-2026: Partnerships package

This package introduces  tax practitioners to the fundamental tax and commercial principles governing partnerships as business structures. It explores how partnerships function within business environments, their tax obligations, profit distribution mechanics, and preparation of partnership income tax returns. Emphasis is placed on differentiating partnerships from joint ventures, understanding common partnership arrangements, and navigating specific tax issues such as CGT, personal services income (PSI), and input tax credits (ITCs).

Across the 2 sessions, participants will be able to: 

Partnerships – Structure and Taxation

• Critically evaluate the effectiveness of partnerships compared to other business structures.
• Explain the taxation implications of a partnership operating a business.
• Understand how profits/funds are distributed from a partnership and the corresponding tax consequences.
• Identify the common types of partnerships used in practice and their commercial rationale.
• Determine eligibility for GST refunds within a partnership context.

Partnership Income Tax Return Preparation

• Distinguish between partnerships and joint ventures (JVs).
• Apply the PSI rules to “Mum and Dad” partnerships and evaluate implications.
• Understand the CGT treatment of partnership asset sales.
• Report on salaries and interest paid to partners appropriately in the tax return.
• Apply GST principles, particularly the treatment of input tax credits (ITCs) when assets (e.g., cars) are acquired through partner current accounts.