• Leases

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    CGT event

    Time of event

    Capital gain

    Capital loss

    F1

    Granting a lease

    for granting a lease-when the entity enters into the lease contract or, if none, at the start of the lease; for a lease renewal or extension-at the start of the renewal or extension

    capital proceeds less the expenditure on grant, renewal or extension

    expenditure on grant, renewal or extension less capital proceeds

    F2

    Granting a long term lease

    for granting a lease-when the lessor grants the lease; for a lease renewal or extension-at the start of the renewal or extension

    capital proceeds from the grant, renewal or extension less the cost base of the leased property

    reduced cost base of the leased property less the capital proceeds from the grant, renewal or extension

    F3

    Lessor pays lessee to get lease changed

    when the lease term is varied or waived

    no capital gain

    amount of expenditure to get lessee's agreement

    F4

    Lessee receives payment for changing a lease

    when the lease term is varied or waived

    capital proceeds less the cost base of lease

    no capital loss

    F5

    Lessor receives payment for changing a lease

    when the lease term is varied or waived

    capital proceeds less expenditure in relation to variation or waiver

    expenditure in relation to variation or waiver less capital proceed

    Last modified: 18 Sep 2009QC 18323