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Introduction to capital gains tax
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CGT exemptions, rollovers and concessions
Exemptions
A number of assets are exempt from CGT, including your home, car, some collectables and personal use assets, and depreciating assets used solely for taxable purposes.
Rollovers
In certain circumstances you can defer or disregard a capital gain on a CGT event until another CGT event happens. This is called a 'rollover'. For example, if an asset is transferred from one spouse to another following a marriage or relationship breakdown, any tax payable is automatically deferred until another CGT event happens, such as selling the asset to someone else.
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There is generally no rollover or exemption for a capital gain when you sell an asset and put the proceeds into a super fund or use them to purchase an identical or similar asset, or when you transfer an asset into a super fund. For example, if you sell a rental property and put the proceeds into a super fund or use the proceeds to purchase another rental property, rollover is not available.
However, you may transfer an asset or the capital proceeds from the sale of an asset into a super fund to satisfy certain conditions under the small business retirement exemption |
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