A Net capital gain

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

End of attention

Did the SMSF have a net capital gain?

The SMSF’s net capital gain is the total capital gain for 2020–21 less:

• any 2020–21 capital losses
• any prior year net capital losses, and
• any other relevant CGT discount or concession.

Show at A the amount of net capital gain calculated or transferred from:

• 6A at part 6 of the CGT summary worksheet
• A at part 6 of the CGT schedule, if any.

When working out the SMSF's net capital gain, include:

• net foreign source capital gains
• the capital gains component of the SMSF's share of net income from a trust
• the capital gains component of the SMSF's share of a distribution from a partnership
• capital gains made by the SMSF from a forestry managed investment scheme (see Appendix 2: Forestry managed investment schemes)
• the amount of capital gain previously deferred under the Transitional CGT relief.

If you include an amount at A that is exempt current pension income, include it also at Y Exempt current pension income.

Non-arm's length capital gains

A net capital gain from the sale of an asset by the SMSF is non-arm's length income if, for example, the asset:

• was sold to a related party for more than the asset’s market value, or
• was originally acquired from a related party for less than the asset’s market value.

Complying SMSFs do not include non-arm's length net capital gains at A. Show these at Non-arm's length income items U2 or U3.

To calculate the SMSF’s net capital gain, see Capital gains tax.