Capital gains tax question

[barnz2k]

For the past several years the ATO has access to taxpayers bank interest amounts. The ATO just uses the database to compare the bank interest lodged in the tax return compared to the the interest paid according to the financial institutions. Now before I get a heap of replies saying..."I never show interest in my return", let me say.......the ATO has always used a materiality principle. You would have been unlikely to get a letter from the ATO if the discrepancy was in total less than $100.

Do you know if they do this with money earnt under an ABN? if an overseas company pays directly into your account but they have your abn - can it actually be tracked in Aus?

 

[Duckman#72]

Do you know if they do this with money earnt under an ABN? if an overseas company pays directly into your account but they have your abn - can it actually be tracked in Aus?

This should probably be best served by a banker, but if the bank account was one held with an Australian based bank then it is possible that it could be tracked. As I understand it the banks report transactions over a certain amount.

Cheers
Duckman

 

[GreatPig]

I have found you cannot offset any share losses against other income, only against share profits.

When you're investing and make capital losses, they cannot be offset against other income.

However, if you're trading as a business, I think you can - although I could be mistaken.

Cheers,
GP

 

[Duckman#72]

When you're investing and make capital losses, they cannot be offset against other income.

However, if you're trading as a business, I think you can - although I could be mistaken.

Cheers,
GP

If you pass the non-commercial loss rules you can.

 

[Sir Burr]

Just wondering if this is the way you calculate your capital gains or even knew about it?
This is a reply I received:-



You cannot offset a discounted capital gain with a full loss, this would be great if you could. For example, if you have a loss on one trade of $5000 and a capital gain of $10000 which is eligible for discounting, you cannot offset the discounted capital gain (10000 * 50%) $5000 with the $5000 loss to equal zero.

The tax office expect you to offset the total gain (10,000) against the $5000 loss and then to apply discounting to the remainder ($5,000 * 50%) = $2500.



Cheers SB