Capital gains tax (“CGT”) is an important issue for all entities who hold capital appreciating assets. Our firm provides advice on how entities are able to preserve the pre-CGT status of their assets (and thus receive capital gains on such assets tax-free) and on the various capital gains tax concessions that may be available to individuals and businesses when they acquire or dispose of assets.
Capital gains tax concessions relevant to businesses and individuals include:
- The 50% CGT discount;
- The small business tax concessions (including the 15year exemption, 50% active asset concession, retirement exemption and small business roll-over); and
- The same asset roll-overs and replacement asset roll overs available to businesses (including scrip for scrip roll-overs, roll-overs from an individual, partnership or trust to a company).
- Capital gains tax issues relevant to individuals would be:
- The 50% CGT discount;
- The exemption from capital gains tax for their main residence;
- The marriage breakdown roll-over for couples who are divorcing ; and
- The capital gains tax consequences of the transfer of assets of an individual upon their death.