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A Net capital gain

Last updated 29 March 2021

Did the SMSF have a net capital gain?

The SMSF’s net capital gain is the total capital gain for 2017–18 less:

  • any 2017–18 capital losses
  • any prior year net capital losses, and
  • any other relevant CGT discount or concession.

No

Leave A blank.

Yes

Print at A the SMSF's net capital gain.

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 Forestry managed investment schemes).

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.

Example: Capital gains tax

In 2017–18, SMSF A sold a house for $500,000. It bought the house for $470,000 in 2012. Its capital gain from this sale using the discount method (see Capital gains tax) is $20,000.

SMSF A reports:

G Did you have a capital gains tax (CGT) event during the year? Yes

M Have you applied an exemption or rollover? No

A Net capital gain $20,000

End of example

QC55254