Superannuation Discussion + market volatility

[andye]

Assets outside of super like real estate - there is no tax on unrealised CG.
Except for land tax - interestingly enough it is actually a tax on unrealised capital gains but it is certainly not 15%.

Yes but outside super, you'd still be up for marginal tax on dividend/rental income and 22.5% CGT when you sell.

I'm not sure 100% how CGT works currently inside super for property if you
(a) sell asset in retirement phase (?10% if held over a year or 0%)
(b) die and give to inheritors ( presumably15% if not spouse/minor children when it is 0% but is this any different for property that isnt immediately sold)
(c) die and retain property in an SMSF of which the inheritors are members

I personally don't like the idea of taxing unrealised gains but (unless there is a way of avoiding any tax or paying less tax in the future) isn''t it largely a cashflow issue as presumably if it later loses value, you'd get a deduction.

Can see how this would be particularly inconvenient with property (a) as investment is illiquid and likely leveraged and (b) often property is held onto through generations (so any CGT on realised gains can take a very long time to reach Treasury)

 

[Quickstatus]

Yes but outside super, you'd still be up for marginal tax on dividend/rental income and 22.5% CGT when you sell.

Remember that the TBC defines the amount that is tax free in pension phase. The rest is in accumulation is taxed at 15% +/- unrealised capital gains tax 15%.

you'd get a deduction.

The sting is (as I understand it) that Labor has said negative gain is not deductible.

It's too murky at the moment. But waiting for to to come up with the draft legislation is very risky