Capital Gains Tax Valuation

Understanding Capital Gains Tax (CGT)

Capital gains tax arises when there's a difference between the cost of obtaining an asset and what you received upon its disposal. This gain is not a separate tax but becomes a part of your income tax. However, if you make a capital loss, it can offset capital gains in the current or future years.

All assets acquired since 20 September 1985 are under the purview of Capital Gains Tax, unless specifically excluded. This typically includes selling real estate or shares. Exceptions include personal assets like your home, car, and certain personal use items.

When am I liable for CGT in the ACT (Canberra) and NSW?

Sale or Gift

Disposing of an asset, be it by selling or gifting it.

Loss or Destruction

An owned asset gets lost or destroyed.

You own shares that are cancelled, surrendered, or redeemed.

Residency

Ceasing your status as an Australian resident.

Company Payments

Receiving a non-dividend payment from a
company.

Understanding the specifics of a CGT event is essential. For example, the acquisition date is crucial since assets obtained before 19 September 1985 are CGT exempt. The exact time of disposal is also vital; it's determined by the contract's initiation, not its completion.

Northbourne Valuers: Your Experts in CGT Valuations

Navigating the complexities of CGT requires precision and expertise. This is where Northbourne Valuers shines:

Objective Assessments

Engage with Northbourne Valuers for market valuations in line with the Australian Taxation Office (ATO) standards. We highlight the importance of objectivity and evidence in our valuations.

Simplifying Processes

We focus on clear communication, efficient methodologies, and timely outputs, easing the CGT valuation journey for you.

Regulatory Expertise

Northbourne Valuers possess deep insight into ATO regulations, enabling better decision-making. We help navigate intricacies such as stylist engagement costs and the capitalization of initial repairs in the asset's cost base.

For all your property transaction needs or Capital Gains Tax assessments in Canberra and the ACT, rely on Northbourne Valuers as your trusted expert ally.

For more information, visit the ATO website.

Let us work together

Maximise the taxation benefits of buying, owning and managing your investment property.