You may roll over a capital gain if a company in which you hold shares is taken over and you receive shares in the takeover company and the takeover meets certain conditions. It can also apply if a trust or fund in which you hold units is taken over and you receive units in the takeover trust or fund.
The company, trust or fund will usually advise investors if the conditions for rollover are met. For more information, see scrip for scrip rollover.
A same asset rollover may be available where:
- a company transfers or creates a CGT asset in another company that is a member of the same wholly-owned group
- at least one of the companies is a foreign resident.
For more information, see inter-company asset rollover.
You may be eligible to disregard any capital gains arising from a demerger if you are a demerging entity in a demerger group application. For more information, see demerger exemption.
Subject to certain conditions being satisfied, this means a capital gain is totally disregarded if you or your small business entity has continuously owned the CGT asset for at least 15 years, and:
- you are 55 years old or over and retiring, or
- you are permanently incapacitated.
Enter the total amount of any capital gains disregarded by the small business 15-year exemption. Do not apply the CGT discount.
If you are a foreign resident, you are subject to CGT if a CGT event happens to a CGT asset that is ‘taxable Australian property’. However, if you are eligible for an exemption then you may disregard the capital gain you have made.
Enter the total amount of any capital gains disregarded by the application of foreign resident exemption. Do not apply the CGT discount.