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Step 2 – Calculating your current year capital gain or capital loss for each CGT asset or CGT event

Last updated 3 March 2016

Calculate whether you have made a capital gain or capital loss as a result of each CGT event that has happened during the year. The Capital gain or capital loss worksheet (PDF 50KB)This link will download a file can help you work this out.

In calculating your capital gain, you will use one of the following three methods for each asset:

  • indexation method
  • discount method, or
  • 'other' method.

See chapter 2 in part A for a full explanation of these methods and how to use them to calculate your capital gain or capital loss for each CGT event.

For a CGT event that happens after 11.45am (by legal time in the ACT) on 21 September 1999 to a CGT asset that you acquired at or before that time, you can choose to use either the indexation or the discount method to calculate your capital gain if you have owned the asset for at least 12 months. If you bought and sold your asset within 12 months, you must use the 'other' method to calculate your capital gain.

If you use the discount method, do not apply the discount percentage until you have applied current year and prior year capital losses.

You also need to work out the amount of any capital gains that you are taken to have made as part of a distribution from a trust. You must use the same method the trustee used in calculating the amount of the capital gain. For more information, see chapter 4 in part A.

Concessions that may apply

There are special rules if a trust's net capital gain was reduced by the CGT discount or by applying the small business 50% active asset reduction, or both. The trust should advise you if it has claimed either (or both) of these concessions as you will need to adjust the amount of the net capital gain to be included in your total capital gains (see chapter 4 in part A for more information).