CGT Articles

CGT Event K5   What is CGT Event K5? CGT Event K5 deals with special collectable losses. It applies where all the following happen: a taxpayer owns shares in a company or an interest in a trust; and there is a fall in the market value of a collectable held by the...

CGT Event E9     What is CGT Event E9? CGT Event E9 is where a taxpayer receives a payment for agreeing to hold future property on trust. At the time of the agreement, no potential beneficiary under the trust can have a beneficial interest in the rights...

CGT Event E8     What is CGT Event E8? CGT Event E8 broadly involves a situation where a beneficiary under a trust disposes of an interest in trust capital (or part of it) and where no money or property was given to acquire that interest. CGT Event E8 does not...

CGT Event E7   What is CGT Event E7? CGT Event E7 is where the trustee of a trust disposes of a CGT asset of the trust to a beneficiary in satisfaction of the beneficiary's interest, or part of it, in the trust capital. Event E7 does not apply where the trust is...

CGT Event E3   What is CGT Event E3? CGT Event E3 is when a trust (not a unit trust) which holds a CGT asset is converted to a unit trust. And just before the conversion, a beneficiary under the trust was absolutely entitled to the asset as against the trustee....

CGT Event E2   What is CGT Event E2? CGT Event E2 involves a situation where a taxpayer transfers a CGT asset to an existing trust. This is distinct from CGT event E1 which applies where a taxpayer creates a new trust over a CGT asset by way of declaration or...

CGT Event C3 What is CGT Event C3? CGT Event C3 involves a situation where a company or the trustee of a unit trust grants another entity or person an option to acquire shares, units or debentures in it and where the right to exercise the option ends in any of the...

CGT Event K6 What is CGT Event K6? Typically, capital gains tax is not applicable when a CGT event happens to a CGT asset acquired prior to introduction of the CGT regime on 20 September 1985. CGT Event K6 stands in exception and is capable of capturing capital gains...

CGT event K2 What is CGT event K2? If applicable, CGT Event K2 enables a taxpayer who has become bankrupt the opportunity to recognise a capital loss in respect of a debt repayment where: the taxpayer had a net capital loss that was not completely used up (i.e....

CGT event C2 What is CGT event C2? CGT Event C2 is where a taxpayer’s ownership of an intangible CGT asset ends because the asset: Is redeemed or cancelled; Is released, discharged or satisfied; Expires; Is abandoned, surrendered or forfeited; If the asset is an...