Guide to small business entity concessions

CGT concessions

There are four capital gains tax (CGT) concessions you may be eligible for:

CGT 15-year asset exemption

If you are aged 55 or older and retiring or are permanently incapacitated, and your business has owned an asset for at least 15 years, you won't pay CGT when you sell the asset.

CGT 50% active asset reduction

If you've owned an asset to conduct your business (an 'active asset') you'll only pay tax on 50% of the capital gain when you sell the asset.

CGT retirement exemption

There is CGT exemption on the sale of a business asset, up to a lifetime limit of $500,000. If you are under 55, money from the sale of the asset must be paid into a complying superannuation fund or a retirement savings account.

CGT rollover

If you sell a small business asset and buy a replacement asset or improve an existing one, you can defer your capital gain until a later year.

	For more information about eligibility for CGT concessions refer to Capital gains tax (CGT) concessions for small business - overview.
	Small business entity concessions - home

Sections within CGT concessions

• Capital gains tax (CGT) 15-year asset exemption
• CGT 50% active asset reduction
• CGT retirement exemption
• CGT rollover