Private ruling: CGT – surrender of asset
Date of advice: 11 June 2018
Published: August 2018
Ruling period: Year ending 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Is the payment you received used in calculating your capital loss, upon surrendering your asset? | A1: Yes. Given consideration to your circumstances and the relevant factors, the Commissioner considers the payment you have received is capital in nature and should be included in calculating your capital loss

Relevant facts and circumstances: You own a CGT asset. You received a payment in respect of surrendering the asset. You have ceased all activities related to the use of the asset. You will realise a capital loss on this surrendering (after incorporating this payment into the asset’s cost base).

Relevant legislative provisions: Income Tax Assessment Act 1997 section 6-10 | Income Tax Assessment Act 1997 section 104-25