How does Capital Gains Tax (CGT) work?

Your net capital gain is the difference between your total capital gains for the year and your total capital losses (from your business and other assets), less any relevant CGT discount or concessions.

In working out the calculation for net capital gains it may be relevant to include costs such as:

• the money you paid to acquire the asset
• the costs of transfer
• stamp duty
• borrowing expenses
• search fees
• conveyancing kit costs
• valuation costs
• surveyor, auctioneer, legal, accounting fees
• costs incurred to preserve the asset’s value
• costs incurred to defend title to an asset.

Any net capital gain you make for an income year must be included in your assessable income.

Our dedicated team can assist you with queries relating to any capital gains or losses, as well as other legal and accounting matters. Complete and submit the express enquiry form or call us on +61 2 9223 9166 to arrange an appointment.