How to identify a private company 043-04010010

The business structure in which the customer is involved is a company when:

• the name of the structure is suffixed by the word 'Limited' or the abbreviation 'Ltd'
• the claim form or Mod PC completed by the customer or their representative may indicate an involvement in a company structure
• among the documents provided by the customer or their accountant, there is a Company Constitution (or Memorandum and Articles of Association)
• the tax return provided by the customer or their representative may indicate an involvement in a company
• the Balance Sheet provided shows 'Authorised capital', 'issued and paid up capital' or the terms 'shareholder loan accounts'

The business structure in which the customer is involved is a private company when:

• The name of the company includes a suffix of 'Proprietary Limited', or the abbreviations 'Pty Ltd' or 'P/L'. Under corporations law, a company name must indicate the company's legal status. A proprietary company must include the word 'Proprietary' or the abbreviation 'Pty' in its name.
• The company has between 1 and 50 shareholders. If there are more than 50 shareholders the company is likely to be public. For example, if the customer and/or their partner are the sole shareholder(s) and director(s) of the company it is certainly a private company. Similarly, if the only shareholders are members of a family, although this alone is not sufficient to indicate a company is a private company.
• A company tax return has been provided and shows the status as private.
• Overseas companies not registered under Australian corporations law may still be assessed under the trust and companies rules if they are designated and controlled private companies.