The capital gains tax laws are voluminous and complicated. But they also contain benefits for taxpayers.
Legislation introduced in Federal Parliament last week – the Tax and Superannuation Laws Amendment (2014 Measures No 7) Bill 2014 – will amend the tax law to ensure that CGT exemption is available in respect of compensation or damages received by:
- a trustee (other than a trustee of a complying super fund) for a wrong or injury a beneficiary suffers in their occupation, or a wrong, injury or illness a beneficiary or their relative suffers personally – and a beneficiary that subsequently receives a distribution that is attributable to such compensation or damages from the trustee;
- a taxpayer for a policy of insurance on the life of an individual or an annuity instrument if the taxpayer is the original owner of the policy or instrument; and
- a trustee of a complying super fund for a policy of insurance for an individual’s...
