Selling Property · Koste Knowledge Base
What is the Market Value Substitution Rule for CGT?
Quick Answer
The market value substitution rule for CGT in Australia applies when a transaction is not conducted at arm's length, or when no actual consideration is provided. Under this rule, the market value of the asset is used instead of the sale price to calculate the capital gain or loss, as per **section 116-30 of ITAA 1997**.
CGTmarket valueproperty taxATOinvestment property
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