Capital Gains Tax - A tax on the
increase in the capital value of investments, payable
when the capital gain is realised. Capital gains tax
is indexed so that nominal increases in value due
to inflation are not taxed as well. The taxation regime
also allows capital losses to be offset against other
taxation liabilities (eg. income tax) in certain circumstances.
Most pooled superannuation trusts accrue either fully
or in part the liability for capital gains tax on
the assets held even though those gains may not yet
be realised.
