Capital gains and shares

[poortrader]

Capital gains on shares

Hi,

Just something i want cleared up RE: Capital Gains tax on shares:

If i earn lets say $60K salary and make $40K in capital gains from shares,

my income will be $100K, of that $100K, $20K will be taxed at a higher tax bracket 38c in the dollar right? based on the tax table from ATO website
http://www.ato.gov.au/individuals/content.asp?doc=/content/12333.htm

am i understanding it correctly?

so if my salary was $80K and i earned $100K in shares, the capital gains will be taxed at 38%? thats a fair wack

 

[springhill]

Re: Capital Gains on Shares

Hi,

Just something i want cleared up RE: Capital Gains tax on shares:

If i earn lets say $60K salary and make $40K in capital gains from shares,

my income will be $100K, of that $100K, $20K will be taxed at a higher tax bracket 38c in the dollar right? based on the tax table from ATO website
http://www.ato.gov.au/individuals/content.asp?doc=/content/12333.htm

am i understanding it correctly?

so if my salary was $80K and i earned $100K in shares, the capital gains will be taxed at 38%? thats a fair wack

Depends on if you are classed as in investor or trader. Capital gains (30% OR 15% FOR A 12 MONTH HOLD) is for investors, normal income tax rates apply for traders.
Your rate of buy/sell and length of time held will determine which you are.
Type "Capital Gains" in the search box at the top and tick the Thread Title Only box, you will find several threads on this.
My advice is talk to a tax specialist to find out which you are classified as, and you will know exactly where you stand.

 

[Krusty the Klown]

Re: Capital gains on shares

Hi,

Just something i want cleared up RE: Capital Gains tax on shares:

If i earn lets say $60K salary and make $40K in capital gains from shares,

my income will be $100K, of that $100K, $20K will be taxed at a higher tax bracket 38c in the dollar right? based on the tax table from ATO website
http://www.ato.gov.au/individuals/content.asp?doc=/content/12333.htm

am i understanding it correctly?

Yes.

so if my salary was $80K and i earned $100K in shares, the capital gains will be taxed at 38%? thats a fair wack

Correct and yes it is.

Regardless of how the income is earned once income passes in to a higher tax bracket it is taxed at the appropriate rate even after capital gain discounts and losses are applied.

 

[ROE]

Re: Captital gains and shares

HI

You also pay tax on any other profit that the Super Fund earns - eg from dividends.

H

You should get back 15% if the dividend is fully franked due to imputation credits..

company already paid 30% for that, super tax at 15% so you get back 15%

 

[So_Cynical]

Anyone getting 100K a year regardless of how it comes, needs to have some kind of negative gear tax strategy...other wise your just throwing money away.

IMO

 

[late_start]

So if you buy and sell shares inside your super account, do you pay any tax if you make any gain?

 

[Julia]

So if you buy and sell shares inside your super account, do you pay any tax if you make any gain?

It depends on whether your Super is in accumulation or pension phase, ie no tax in pension phase, 15% in accumulation.

 

[late_start]

Thanks Julia. During the accumulation phase then, Is the 15% flat rate for all? Including share hold less or more than 12 month......