Published on 03 Mar 10
by NATIONAL DIVISION, THE TAX INSTITUTE
Tax is levied on capital proceeds from CGT events as defined by tax law; but the when, which and what of the CGT event is often a matter of contract law rather than tax law. Contract law determines the time and identity of the event, and the value of the capital proceeds. This paper considers:
- using contracts to determine timing of disposals
- using earn-out contracts to defer receipt of capital proceeds
- using contracts to choose the relevant CGT event
- amendments, novations and assignments of contracts.
Cameron is a Partner at PwC, practising in tax controversy and corporate tax. He was a Professor of Taxation Law at the Melbourne University Law School, and still teaches a course on Mineral and Petroleum Tax.
- Current at
12 February 2016