SEARCH BY NAME
SEARCH BY CODE
More Exchange Rates
The basics of Capital Gains Tax
Capital Gains Tax (CGT) is tax on your net capital gain.
Net capital gain is total capital gains, minus total capital losses, minus the CGT discount.
What is the CGT discount?
The CGT discount is 50% - shares or units need to be held for 12 months to get the discount.
Capital losses are taken away from capital gains before the discount is applied. (The discount is available for individuals, but not for a company.)
The net capital gain is then taxed at your marginal tax rate. CGT is not a separate tax.
Note that capital gains or losses as a general rule can be disregarded for CGT purposes when assets were acquired before 20 September 1985 (pre CGT).
The CGT events
A capital gain or capital loss only happens if there is a CGT event. Some common CGT events include:
- Sale of shares or units.
- Distribution of a capital gain by a managed fund or other trust.
- Receipt of a payment from a company other than a dividend.
- When a liquidator or administrator declares shares in a failed company are worthless.
- When shares are cancelled because a company is wound up.
- Creating a trust over a CGT asset or transferring a CGT asset to a trust.
There are about 50 CGT events. Details of each can be found in the Guide to CGT, issued annually by the ATO. The timing of the event is important. If an asset is sold the CGT event happens when you enter into a contract. The distribution of a capital gain from a managed fund is taken to have been made in the income year shown on the statement.
deListed and InvestoGain are largely the result of voluntary effort. We welcome input and updates from investors, company officers, insolvency practitioners, regulatory bodies, registries and others to firstname.lastname@example.org.
Thank you for the wonderful service you provide through your website. I've had the pleasure of selling a parcel of shares: easy, efficient, and very cost-effective. And I especially like the super-easy way your site allows me to chase up companies' various name changes, and so remain up-to-date. I Brandli, Coffs Harbour NSW
…out of all the exchanges that I do research for, your particular web site makes finding information so easy. I wish the rest of the world would follow your footsteps. Reuters
Thank you so much for assisting with this. I contacted the registry today and they did confirm there are …… shares [value: $42,000] in my sister’s name. I have put ......... in contact with them so she can update her address and will thereafter be able to claim the dividends [value: $3764] and sell her shares if she chooses. We really appreciate your help, this money will be of huge assistance to ..... What a fantastic service you provide.