Just one good idea could make you thousands of dollars. Subscribe Here . Substantial changes were to the Capital Gains Tax laws in the last quarter of 1999.
Care needs to be taken as to whose name assets are placed in.
The problem then is getting the money represented by the SBE out of the company to individuals who may want to use the cash for private purposes. On the other hand, if an individual owned the asset in the first place, then the tax-free amount is already in that person's hands. So if a new rental property is being acquired, don't put it in a company - no exemptions will apply on sale. Its not hard to see that there are many combinations of ownership, depending on the type of asset being acquired. We strongly recommend you obtain good advice before moving to acquire an asset so that you don't close off your CGT options.