What are the capital gains tax consequences of the disposal of my St George shares?

A CGT event happened when you disposed of your St George shares in the merger with Westpac on 1 December 2008.

You may have made a capital gain or a capital loss on your St George shares, depending on their cost base (or reduced cost base) and the amount you received for them.

Work out if you have made a capital gain or capital loss using the value of the capital proceeds for each St George share on 1 December 2008.

The capital proceeds for each St George share was $22.5165 [1.31 multiplied by $17.1882 (the market value of a Westpac share)].

You may own shares that have different cost bases (or reduced cost bases) and it is possible for you to have made both a capital loss and a capital gain on different St George shares. The following table will help you.

For each St George share with a:

you have made:

equal to:

cost base* of less than $22.5165

a capital gain

$22.5165 minus the cost base of the share

reduced cost base* of more than $22.5165

a capital loss

the reduced cost base of the share minus $22.5165

* For information on how to work out the cost base and reduced cost base for shares, see the Guide to capital gains tax.

Scrip for scrip rollover is available for this merger if you made a capital gain.

    Last modified: 06 Oct 2010QC 21912