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When CGT applies to shares and units

Find out which things trigger CGT, such as selling shares or receiving certain distributions.

Last updated 17 June 2024

When CGT applies

Selling your shares or units is the most common CGT event, but there are others.

A CGT event may occur if you:

If you sell shares or have another CGT event, you need to calculate your CGT and report it in your income tax return.

When a corporate group restructures, we often publish a class ruling or fact sheet. For further information you can:

  • ask the company for details
  • go to our legal database and search <company name> for class rulings – you may need to refine your search by ‘Rulings’.

For a video showing how to enter your capital gains and losses in myTax when you dispose of shares, see Disposing of shares.

When CGT does not apply

CGT does not apply to:

  • dividends you receive from your investments – these are taxed as ordinary income
  • profits on the sale of shares if you are carrying on a business of share trading – these are taxed as ordinary business income rather than capital gains.