Calculating your CGT liability does not require you to use a capital gains tax calculator. All you need to do is determine what your taxable gain is, and then add it to your taxable income. The capital gain you make will be taxed at your current marginal rate of tax.
To determine your capital gain:
- Determine your capital proceeds i.e. the money you received from the sale.
- Determine your cost base. What is my cost base?
- capital proceeds – cost base = gross capital gain
- Apply any discounts or concessions that may be available (e.g. the 50% CGT Discount)
- gross capital gain x CGT discount (if applicable) = net capital gain
- Add your net capital gain to your taxable income, and determine how much you pay with a tax calculator.
To find the correct liability, you should always seek the advice of a registered tax agent.