Certain prepayments are not subject to the above 12 month rule and therefore both SBE and non-SBE taxpayers may be able to claim deductions for expenditure that is:
less than $1,000 GST exclusive; or
incurred under a law of the Commonwealth, State, or Territory. Common examples are motor vehicle registration and compulsory third party insurance and Workcover premiums and statutory licences; or
paid under a contract of service (e.g. prepayments of salary and wages, bonuses and commissions).
