Cut capital gains tax with super

Cut capital gains tax with super
Michael LaurenceJuly 18, 2013

Some smart property investors make extra-large concessional superannuation contributions up to their annual contributions cap in the same tax year as selling an investment property for a capital gain.

Certain eligible super fund members– including the self-employed and nonemployee investors – can claim deductions for their concessional contributions.

And their large deductions may offset, at least to some extent, the CGT payable on the capital gain.

The concessional contributions cap for 2012-13 is $25,000 for members over and under 50. (Don’t overlook that the concessional cap for members over 50was halved to $25,000 from July 1, 2012.)

See our free ebook on the top 24 tax strategies for property investors.

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