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Tax Consolidation

If you have ever received a bundle of tax returns from your accountant and asked yourself "why am I paying tax in one company when we have losses in another company" it is time to consider tax consolidation.

If you have a diverse corporate group, tax consolidation may provide you with the opportunity to:

  • Offset the tax losses of one subsidiary against the profits of another subsidiary.
  • Restructure and simplify your business with potentially no CGT implications.
  • Dramatically reducing intra-group transactions and processing.
  • File only one tax return.
  • Free up your finance team to value add.

For an opportunity to discuss how tax consolidation could improve your business, contact us today.

Client Experience


After a period of considerable growth and expansion a client in the industrial supplies industry had a successful business with offices throughout Australia.


Following a strategic review of the business it was clear that rationalisation would bring increased profitability and synergies.  Underperforming companies were identified and improvements were made.

As part of this process we reviewed the opportunity to form a tax consolidated group. Through a review of the expected rationalisation program, forecasts and their tax history tax consolidation allowed for significant benefits:

  • Offset of tax losses against tax profits
  • A refund of tax instalments paid
  • Reducing the number of tax returns from six to one
  • Transfer of assets intra group without CGT consequences
  • Liquidating companies without CGT consequences

Tax consolidation has therefore allowed for a simplification of their tax affairs, improved tax management and cashflow and the opportunity to streamline their business.