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Refer to Forestry Managed Investment Schemes on the ATO website.

The Forestry managed investment scheme worksheet is provided as a guide to the Income and deductions applicable to this scheme.

Income entered will integrate to the income item in the relevant return and the deductions to the relevant deduction label in each of the returns.

Forms Affected: I, C, F, MS, P and T

The ATO has introduced these items to collect the amount of income and expenses to be included in taxable income for initial and subsequent participants in a Forestry MIS. Income and expenses are disclosed at the following labels in the various income tax returns:

 

Return Type

Income labels 

Deduction labels

Individual

Items 23

Item D14, label F

Company

Item 6, label X

Item 7, label U

Fund

Section B: item 11, label X

Section C: item 11, label U

SMSF

Section B: item 10, label X

Section C: item 12, labels U1 and U2

Partnership and Trust

Item 10, label Q

Item 17, label D

Income from Forestry Managed Investment Schemes (MIS) arises from the following activities:

  • sale and harvest receipts for initial participants, and

  • thinning receipts for initial and subsequent participants

A dissection grid is available at each of the income and deduction fields and can be opened by clicking the label at the relevant field.

Capital Gains event

As a Capital Gains event occurs when a Forestry MIS interest is sold, a new label has been introduced at the Capital Gains in each of the returns to advise whether the Net capital gains amount at Label A includes an amount that relates to a CGT event from a Forestry Managed Investment Scheme Interest (MIS) other than as an ‘initial participant’.

Due to this a new category of asset has been introduced into the Capital gains worksheet (g) with the code F and when this code is selected, Tax will integrate the answer to the main return and also calculate the various categories of gains and losses to populate the Capital Gains Schedule (BW).