Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p31
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 31/34)
Character Range: 1738012–1740827

events in respect of CGT assets that are complying superannuation assets.
Note: Shareholders in a listed investment company can also receive a concession equivalent to a discount capital gain: see Subdivision 115‑D.
 (3) The concession is that the net capital gain includes only part of the amount of the discount capital gain left after applying capital losses and net capital losses from earlier income years.
See subsection 102‑5(1).

Table of sections

Operative provisions
102‑5 Assessable income includes net capital gain
102‑10 How to work out your net capital loss
102‑15 How to apply net capital losses
102‑20 Ways you can make a capital gain or a capital loss
102‑22 Amounts of capital gains and losses
102‑23 CGT event still happens even if gain or loss disregarded
102‑25 Order of application of CGT events
102‑30 Exceptions and modifications

Operative provisions

102‑5  Assessable income includes net capital gain
 (1) Your assessable income includes your net capital gain (if any) for the income year. You work out your net capital gain in this way:

      Working out your net capital gain
           Step 1. Reduce the *capital gains you made during the income year by the *capital losses (if any) you made during the income year.
                  Note 1: You choose the order in which you reduce your capital gains. You have a net capital loss for the income year if your capital losses exceed your capital gains: see section 102‑10.
                  Note 2: Some provisions of this Act (such as Divisions 104 and 118) permit or require you to disregard certain capital gains or losses when working out your net capital gain. Subdivision 152‑B permits you, in some circumstances, to disregard a capital gain on an asset you held for at least 15 years.
           Step 2. Apply any previously unapplied *net capital losses from earlier income years to reduce the amounts (if any) remaining after the reduction of *capital gains under step 1 (including any capital gains not reduced under that step because the *capital losses were less than the total of your capital gains).
                  Note 1: Section 102‑15 explains how to apply net capital losses.
                  Note 2: You choose the order in which you reduce the amounts.
           Step 3. Reduce by the *discount percentage each amount of a *discount capital gain remaining after step 2 (if any).
                  Note: Only some entities can have discount capital gains, and only if they have capital gains from CGT assets acquired at least a year before making the gains. 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