Question
Liz acquired land on 1 January last year. On 1 March this year she decided to sell the land. Liz entered into a contract of
Liz acquired land on 1 January last year. On 1 March this year she decided to sell the land. Liz entered into a contract of sale on 1 May this year. The sale contract was settled on 1 July this year when Liz handed over the title and possession to the land in return for the sale price being received by her.
Which of the following is correct under the “capital gains tax” provisions:
CGT event A1 has not happened.
CGT event A1 happened on 1 January last year.
CGT event A1 happened on 1 March this year.
CGT event A1 happened on 1 May this year.
CGT event A1 happened on 1 July this year.
Step by Step Solution
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There are 3 Steps involved in it
Step: 1
Under the capital gains tax provisions CGT event A1 happens when a contra...
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South-Western Federal Taxation 2020 Comprehensive
Authors: David M. Maloney, William A. Raabe, James C. Young, Annette Nellen, William H. Hoffman
43rd Edition
357109147, 978-0357109144
