Appendixes

Disposal of a CGT asset

when the disposal contract is entered into or, if none, when the entity stops being the asset’s owner

capital proceeds from disposal less the asset’s cost base

asset’s reduced cost base less capital proceeds

Use and enjoyment before title passes

when use of the CGT asset passes

capital proceeds less the asset’s cost base

asset’s reduced cost base less capital proceeds

Loss or destruction of a CGT asset

when compensation is first received or, if none, when the loss is discovered or destruction occurred

capital proceeds less the asset’s cost base

asset’s reduced cost base less capital proceeds

Cancellation, surrender and similar endings

when the contract ending an asset is entered into or, if none, when an asset ends

capital proceeds from the ending less the asset’s cost base

asset’s reduced cost base less capital proceeds

End of an option to acquire shares and so on

when the option ends

capital proceeds from granting the option less expenditure in granting it

expenditure in granting the option less capital proceeds

Creating contractual or other rights

when the contract is entered into or the right is created

capital proceeds from creating the right less incidental costs of creating the right

incidental costs of creating the right less capital proceeds

Granting an option

when the option is granted

capital proceeds from the grant less expenditure to grant it

expenditure to grant the option less capital proceeds

Granting a right to income from mining

when the contract is entered into or, if none, when the right is granted

capital proceeds from the grant of right less the expenditure to grant it

expenditure to grant the right less capital proceeds

Entering into a conservation covenant

when covenant is entered into

capital proceeds from covenant less cost base apportioned to the covenant

reduce cost base apportioned to the covenant less capital proceeds from covenant

Creating a trust over a CGT asset

when the trust is created

capital proceeds from creating the trust less the asset’s cost base

asset’s reduced cost base less capital proceeds

Transferring a CGT asset to a trust

when the asset is transferred

capital proceeds from the transfer less the asset’s cost base

asset’s reduced cost base less capital proceeds

Converting a trust to a unit trust

when the trust is converted

market value of the asset at that time less its cost base

asset’s reduced cost base less that market value

Capital payment for trust interest

when the trustee makes the payment

non-assessable part of the payment less the cost base of the trust interest

no capital loss

Beneficiary becoming entitled to a trust asset

when the beneficiary becomes absolutely entitled

for a trustee, market value of the CGT asset at that time less its cost base; for a beneficiary, that market value less the cost base of the beneficiary’s capital interest

for a trustee, reduced cost base of the CGT asset at that time less that market value; for a beneficiary, reduced cost base of the beneficiary’s capital interest less that market value

Disposal to a beneficiary to end an income right

the time of the disposal

for a trustee, market value of the CGT asset at that time less its cost base; for a beneficiary, that market value less the cost base of the beneficiary’s right to income

for a trustee, reduced cost base of the CGT asset at that time less that market value; for a beneficiary, reduced cost base of the beneficiary’s right to income less that market value

Disposal to a beneficiary to end capital interest

the time of the disposal

for a trustee, market value of the CGT asset at that time less its cost base; for a beneficiary, that market value less the cost base of the beneficiary’s capital interest

for a trustee, reduced cost base of the CGT asset at that time less that market value; for a beneficiary, reduced cost base of the beneficiary’s capital interest less that market value

Disposal by a beneficiary of capital interest

when the disposal contract is entered into or, if none, when the beneficiary ceases to own the CGT asset

capital proceeds less the appropriate proportion of the trust’s net assets

appropriate proportion of the trust’s net assets less the capital proceeds

Creating a trust over future property

when the entity makes an agreement

market value of the property (as if it existed when the agreement was made) less incidental costs in making the agreement

incidental costs in making the agreement less the market value of the property (as if it existed when the agreement was made)

Annual cost base reduction exceeds cost base of interest in AMIT

when reduction happens

excess of cost base reduction over cost base

no capital loss

Granting a lease

for granting a lease, when the entity enters into the lease contract or, if none, at the start of the lease; for a lease renewal or extension, at the start of the renewal or extension

capital proceeds less the expenditure on grant, renewal or extension

expenditure on grant, renewal or extension less capital proceeds

Granting a long-term lease

for granting a lease, when the lessor grants the lease; for a lease renewal or extension, at the start of the renewal or extension

capital proceeds from the grant, renewal or extension less the cost base of the leased property

reduced cost base of the leased property less the capital proceeds from the grant, renewal or extension

Lessor pays lessee to get lease changed

when the lease term is varied or waived

no capital gain

amount of expenditure to get lessee’s agreement

Lessee receives payment for changing a lease

when the lease term is varied or waived

capital proceeds less the cost base of lease

no capital loss

Lessor receives payment for changing a lease

when the lease term is varied or waived

capital proceeds less expenditure for variation or waiver

expenditure for variation or waiver less capital proceeds

Capital payment for shares

when the company pays a non-assessable amount

payment less cost base of shares

no capital loss

Liquidator or administrator declares shares or financial instruments worthless

when declaration is made

no capital gain

shares’ or financial instruments’ reduced cost base

Forfeiture of a deposit

when the deposit is forfeited

deposit less expenditure in connection with the prospective sale

expenditure in connection with the prospective sale less deposit

Receipt for an event relating to a CGT asset

when the act, transaction or event occurred

capital proceeds less the incidental costs

incidental costs less capital proceeds

Individual or company stops being an Australian resident

when the individual or company stops being an Australian resident

for each CGT asset the person owns, its market value less its cost base

for each CGT asset the person owns, its reduced cost base less its market value

Trust stops being a resident trust

when the trust ceases to be a resident trust for CGT purposes

for each CGT asset the trustee owns, its market value less its cost base

for each CGT asset the trustee owns, its reduced cost base less its market value

Company stops being a member of a wholly owned group after a rollover

when the company stops being a member of a wholly owned group after a rollover

market value of the asset at the time of the event less its cost base

reduced cost base of the asset less that market value

Change for replacement asset or improved asset after a rollover under Subdivision 152-E

when the change happens

the amount mentioned in subsection 104-185(5)

no capital loss

Trust failing to cease to exist after rollover under Subdivision 124-N

when the failure to cease to exist happens

for the company, market value of the asset at the time the company acquired it less its cost base at that time

for a shareholder, market value of the share at the time the shareholder acquired it less its cost base at that time

for the company, reduced cost base of the asset at the time the company acquired it less its market value at that time

for a shareholder, reduced cost base of the share at the time the shareholder acquired it less its market value at that time

Failure to acquire replacement asset and to incur fourth element expenditure after a rollover under Subdivision 152-E

at the end of the replacement asset period

the amount of the capital gain that you disregarded under Subdivision 152-E

no capital loss

Cost of acquisition of replacement asset or amount of fourth element expenditure, or both, not sufficient to cover disregarded capital gain

at the end of the replacement asset period

the amount mentioned in subsection 104-198(3)

no capital loss

Bankrupt pays an amount for debt

when payment is made

no capital gain

that part of the payment that relates to the denied part of a net capital loss

Asset passing to a tax-advantaged entity

when an individual dies

market value of the asset at death less its cost base

reduced cost base of the asset less that market value

CGT asset starts being trading stock

when the asset starts being trading stock

market value of asset less its cost base

reduced cost base of asset less that market value

Special capital loss from a collectable that has fallen in market value

when CGT event A1, C2 or E8 happens to shares in the company, or an interest in the trust, that owns the collectable

no capital gain

market value of the shares or interest (as if the collectable had not fallen in market value) less the capital proceeds from CGT event A1, C2 or E8

Pre-CGT shares or trust interest

when another CGT event involving the shares or interest happens

capital proceeds from the shares or trust interest that are attributable to post-CGT assets owned by the company or trust, less the assets’ cost bases

no capital loss

Balancing adjustment occurs for a depreciating asset that you used for purposes other than taxable purposes

when the balancing adjustment event occurs

termination value less cost times fraction

cost less termination value times fraction

Direct value shifts affecting your equity or loan interests in a company or trust

the decrease time for the interests

the capital gain worked out under section 725-365

no capital loss

Entitlement to receive payment of a carried interest

when you become entitled to receive the payment

capital proceeds from the entitlement

no capital loss

You make a forex realisation gain as a result of forex realisation event 2 and item 1 of the table in subsection 775-70(1) applies

when the forex realisation event happens

equal to the forex realisation gain

no capital loss

You make a forex realisation loss as a result of forex realisation event 2 and item 1 of the table in subsection 775-75(1) applies

when the forex realisation event happens

no capital gain

equal to the forex realisation loss

Foreign hybrid loss exposure adjustment

just before the end of the income year

no capital gain

the amount stated in subsection 104-270(3)

Reduction under section 705-57 in tax cost setting amount of assets of entity becoming subsidiary member of consolidated group or MEC group

just after entity becomes subsidiary member

no capital gain

amount of reduction

Amount remaining after step 3A etc of ‘joining allocable cost amount is negative’

just after entity becomes subsidiary member

amount remaining

no capital loss

Tax cost setting amounts for retained cost base assets exceed joining allocable cost amount

just after entity becomes subsidiary member

amount of excess

no capital loss

No reset cost base assets against which to apply excess of net allocable cost amount on joining

just after entity becomes subsidiary member

no capital gain

amount of excess

Amount remaining after step 4 of ‘leaving allocable cost amount is negative’

when entity ceases to be subsidiary member

amount remaining

no capital loss

Error in calculation of tax cost setting amount for joining entity’s assets

start of the income year when the Commissioner becomes aware of the errors

the net overstated amount resulting from the errors, or a portion of that amount

the net understated amount resulting from the errors, or a portion of that amount

Reduction in tax cost setting amount for reset cost base assets on joining cannot be allocated

just after entity becomes subsidiary member

no capital gain

amount of reduction that cannot be allocated