CGT Articles

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...

CGT event C1 What is CGT event C1? CGT event C1 involves a situation where a taxpayer owns a CGT asset which becomes lost or destroyed. The rules governing CGT event C1 are contained in section 104-20 of the Income Tax Assessment Act 1997 (Cth) (‘ITAA’). At what time...

CGT event B1 What is CGT event B1? CGT event B1 involves a situation where a taxpayer enters into an agreement with another entity under which: the right to use and enjoyment of a CGT asset the taxpayer owns passes to the other entity; and title in the asset will or...

CGT Event H2 What is CGT Event H2? CGT Event H2 involves a situation where an act, transaction or event occurs in relation to a CGT asset owned by a taxpayer and that act, transaction or event does not result in an adjustment being made to the asset’s cost base or...

CGT Event E1  What is CGT Event E1? CGT Event E1 deals with a situation where a taxpayer creates a trust over a CGT asset by way of declaration or settlement. The rules dealing with CGT Event E1 are contained in section 104-55 of the Income Tax Assessment Act 1997...

CGT event K7 What is CGT event K7? CGT event K7 broadly involves a situation where a balancing adjustment event occurs for a depreciating asset held by a taxpayer that was at some time used (or installed ready for use) for a non-taxable purpose, or a purpose...

CGT Event J2 - J5 - J6      CGT events J2, J5 and J6 are invoked in situations where a taxpayer utilises the small business CGT roll-over concession and a certain specific circumstance occurs concerning the taxpayer decision-making regarding the...

CGT Event G3 What is CGT Event G3? CGT event G3 is relevant where an appointed liquidator or administrator makes a declaration that the shareholders of a company, or shareholders of a relevant class of shares, have no likelihood of receiving any further distribution...