|
3. capital gains tax ...
Capital gains tax is the tax payable on any capital gains made
and is included on the taxpayer’s annual income tax return.
Thus, capital gains tax is not a separate tax, but a component
of income tax.
Taxpayers are taxed on the net capital gain at their marginal
tax rate.
Calculation of net capital gain
is:
total capital gains for the year minus
total capital losses (including any net capital losses from
previous years) minus
any CGT discount and CGT small business concessions to which
you are entitled.
CGT assets include shares,
units in a unit trust, collectables (such as jewellery),
assets for personal use (such as furniture or a boat) and
other assets (such as an investment property).
CGT can be minimised through the utilisation of gearing and
capital allowance deductions. The carry forward of these
losses can be utilised to offset against any future capital
gains.
|
|
For further information on tax matters in Australia, visit
Australian
Taxation Office .
Australian
residents make a capital gain or capital loss if a CGT event
happens to any of their assets anywhere in the world.
As a general rule, non-residents make a capital gain or capital
loss only if a CGT event happens to a CGT asset that has a
necessary connection with Australia.
|
|
0880