• Step 7 - Applying the CGT discount

    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

    You can now reduce any remaining current year capital gains calculated using the discount method by the discount percentage (50% for individuals).

    You cannot apply the discount to capital gains calculated using the indexation method or the 'other' method.

    Example - Total capital gains calculated using the discount method

    From our earlier example, we know Kathleen had capital gains of $2,520 calculated using the discount method after applying relevant capital losses. She works out her total capital gains calculated using the discount method by multiplying her capital gain by the CGT discount of 50%:

    $2,520 x 50% = $1,260

    End of example
    Last modified: 04 Mar 2016QC 27527