Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p32
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 32/34)
Character Range: 1740576–1743193

See Division 115.
           Step 4. If any of your *capital gains (whether or not they are *discount capital gains) qualify for any of the small business concessions in Subdivisions 152‑C, 152‑D and 152‑E, apply those concessions to each capital gain as provided for in those Subdivisions.
                  Note 1: The basic conditions for getting these concessions are in Subdivision 152‑A.
                  Note 2: Subdivision 152‑C does not apply to CGT events J2, J5 and J6. In addition, Subdivision 152‑E does not apply to CGT events J5 and J6.
           Step 5. Add up the amounts of *capital gains (if any) remaining after step 4. The sum is your net capital gain for the income year.
Note: For exceptions and modifications to these rules: see section 102‑30.
 (2) However, if during the income year:
 (a) you became bankrupt; or
 (b) you were released from debts under a law relating to bankruptcy;
any *net capital loss you made for an earlier income year must be disregarded in working out whether you made a *net capital gain for the income year or a later one.
 (3) Subsection (2) applies even though your bankruptcy is annulled if:
 (a) the annulment happens under section 74 of the Bankruptcy Act 1966; and
 (b) under the composition or scheme of arrangement concerned, you were, will be or may be released from debts from which you would have been released if instead you had been discharged from the bankruptcy.

102‑10  How to work out your net capital loss
 (1) You work out if you have a net capital loss for the income year in this way:

      Working out your net capital loss
           Step 1. Add up the *capital losses you made during the income year. Also add up the *capital gains you made.
           Step 2. Subtract your *capital gains from your *capital losses.
           Step 3. If the Step 2 amount is more than zero, it is your net capital loss for the income year.
Note: For exceptions and modifications to these rules: see section 102‑30.
 (2) You cannot deduct from your assessable income a *net capital loss for any income year.

102‑15  How to apply net capital losses
  In working out if you have a *net capital gain, your *net capital losses are applied in the order in which you made them.
Note 1: A net capital loss can be applied only to the extent that it has not already been utilised: see subsection 960‑20(1).
Note 2: For applying a net capital loss for the 1997‑98 income year or an earlier income year, see section 102‑15 of the Income Tax (Transitional Provisions) Act 1997.

102‑20  Ways you can make a capital gain or a capital loss
  You can make a *capital