Miscellaneous 2021

The taxation of investors with equity-equivalents in ASX-listed entities

Source: The Tax Specialist Journal Article

Published Date: 1 Apr 2021


Australian investors who have exposures to ASX-listed entities may not always consider equivalent
investments. This article considers an equivalent (like-for-like) investment in two particular instruments:

  • low exercise price options (LEPOs); and
  • call/put parity positions (via the use of exchange traded options).

Both LEPOs and exchange-traded options are traded on the Australian Securities Exchange. Where an investor considers establishing a position in a LEPO or a call/put parity position, what are the Australian tax implications for the investor who resides in Australia and establishes these positions on capital account? This article addresses this question.


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  • Published By: R Bobb
  • Published On:1 Apr 2021

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Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

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Miscellaneous 2021

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