Capital Gains Tax Payment: Key Dates and Procedures

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Capital Gains Tax Payment: Key Dates and Procedures

If you make a profit or gain when you dispose of an asset, you pay Capital Gains Tax (CGT) on the chargeable gain. The chargeable gain is usually the difference between the price you paid for the asset and the price you got when you disposed of it. You can deduct allowable expenses such as the cost of acquiring and disposing of the asset.

When to Pay CGT:

The dates for CGT payments hinge on when you sold, gifted, or transferred an asset. Your payment is due before filing your return. Here’s the breakdown:

  • Disposal between January 1 and November 30: Payment due by December 15 of the same year.
  • Disposal between December 1 and December 31: Payment due by January 31 of the following year.

Note: For disposals under a written contract, the date of the contract usually marks the time of disposal.

Late Payments:

Remember, late payments will incur interest charges.

How to Pay CGT:

  • Registered for CGT: Pay online using ROS (Revenue Online Service) or myAccount.
  • Not registered for CGT: First, register for CGT, then make payments using ROS or myAccount.
  • Exempt from mandatory efiling: You have options:
    • Email the Payment section of the Collector-General’s Division.
    • Send payment with the appropriate payslip.

Ensuring prompt and accurate payment of CGT is vital to avoid penalties and interest charges.

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