• Introduction

    Attention

    Warning:

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

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    The instructions in this part are designed to help companies, trusts and funds (your entity) to calculate a capital gain or capital loss and to complete the capital gains items on the relevant tax return:

    Funds include superannuation funds, approved deposit funds and pooled superannuation trusts.

    The labels to complete at these items on your entity's tax return are:

    • G Did you have a CGT event during the year?
    • A Net capital gain

    You will also need to complete V Net capital losses carried forward to later income years at the Losses information item on your entity's tax return.

    The relevant item number on each tax return is:

    Attention icon

    New terms

    We may use some terms that are new to you. These words are explained in Definitions. Generally, they are also explained in detail in the section where they first appear.

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    Entity

    The term 'entity' is used to describe a company (including a head company of a consolidated group), a trust and a fund in this part of the guide.

    Worksheets

    The worksheets provided at the back of this guide are the:

    You can tear out the worksheets and complete them as you work through this part.

    The worksheets are optional and your entity may prefer to use a different worksheet or a computer-based alternative. We have used these worksheets throughout this part of the guide as examples to help you complete the capital gains item on your entity's tax return, and a CGT schedule if this is required.

    CGT schedule

    Your entity must complete this schedule for the 2006-07 income year if the:

    • total current year capital gains are greater than $10,000, or
    • total current year capital losses are greater than $10,000.

    If your entity is required to complete a CGT schedule, you must attach it to your entity's 2007 tax return.

    In the worksheets and CGT schedule at the back of this guide, 'current year capital gain' (CYCG), 'current year capital losses' (CYCL) and 'prior year net capital losses' (PYNCL) refer to 'current income year' and 'prior income year'.

    Attention

    Consolidated groups

    If a group consolidates during the income year, the head company must lodge a CGT schedule if the total capital gains or total capital losses that it makes - as head company of the consolidated group and while not a member of a consolidated group - are greater than $10,000.

    An entity that has joined a consolidated group or groups during the year of income as a subsidiary member must lodge a CGT schedule covering any periods of non-membership if the entity satisfies the requirements for lodgment of that schedule.

    Detailed information on the operation of consolidation is available on our website or phone the Tax Reform Infoline on 13 24 78.

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    Last modified: 06 Oct 2009QC 27893