USEFUL TIPS ON CAPITAL GAINS / LOSSES

Offset capitals gains with capital losses:

Profits from selling shares or investment properties bought after 1985 will be charged capital gains tax at your marginal tax rate. Capital Losses can be offset only against Capital Gains and reduce your capital gains tax bill. For instance, if you made a big profit on the sale of one investment this financial year, consider selling some of your bad ones.

Carefully choose to be a “Share Trader” or to be a “Investor”. Investment is categorized as Capital in nature and the above point applies. “Trader” will be treated as a business-like venture and any losses from such business transactions could offset your PAYG Income.