QUESTION 18

1. Jenny sells her caf and makes a profit on the sale. She has applied the 50% individual discount reducing her gain to $400,000. Jenny also qualifies for the small business CGT concessions and wishes to use the active asset reduction as well. She tells you that she has carry forward capital losses of $300,000.

   How much net capital gain will Jenny will include in her assessable income?

   		Nil
   		$50,000
   		$100,000
   		$125,000
   		$250,000