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Amalgamation of title

Last updated 24 May 2020

The amalgamation of the titles to various blocks of land that you own does not result in a CGT event happening.

Land you acquire before 20 September 1985 that is amalgamated with land acquired on or after that date retains its pre-CGT status.

Example: Amalgamation of title

On 1 April 1984, Robert bought a block of land. On 1 June 1999, he bought another block adjacent to the first one. Robert amalgamated the titles to the two blocks into one title.

Robert is taken to have two separate assets. The first block continues to be treated as a pre-CGT asset.

End of example

Examples of CGT calculations affecting real estate

There are a number of other examples in this guide that explain how to calculate your capital gain or capital loss on the sale of real estate:

  • calculation of capital gain (including worksheet), where a person can choose the indexation or discount method to calculate their capital gain - see example of Val
  • calculation of capital gain on property owned for 12 months or less - see example of Marie-Anne
  • recoupment of expenditure affecting CGT cost base calculation - see example of John
  • deductions affecting CGT cost base calculations - see example of Zoran.