<P> Australia collects capital gains tax only upon realized capital gains, except for certain provisions relating to deferred - interest debt such as zero - coupon bonds . The tax is not separate in its own right, but forms part of the income - tax system . The proceeds of an asset sold less its "cost base" (the original cost plus addition for cost price increases over time) are the capital gain . Discounts and other concessions apply to certain taxpayers in varying circumstances . From 21 September 1999, after a report by Alan Reynolds, the 50% capital gains tax discount has been in place for individuals and for some trusts that acquired the asset after that time and that have held the asset for more than 12 months, however the tax is levied without any adjustment to the cost base for inflation . The amount left after applying the discount is added to the assessable income of the taxpayer for that financial year . </P> <P> For individuals, the most significant exemption is the family home . The sale of personal residential property is normally exempt from capital gains tax, except for gains realized during any period in which the property was not being used as an individual's personal residence (for example, while leased to other tenants) or portions attributable to business use . Capital gains or losses as a general rule can be disregarded for CGT purposes when assets were acquired before 20 September 1985 (pre-CGT). </P> <P> Austria taxes capital gains at 25% (on checking account and "Sparbuch" interest) or 27.5% (all other types of capital gains). There is an exception for capital gains from the sale of shares of foreign entities (with opaque taxation) if the participation exceeds 10% and shares are held for over one year (so - called "Schachtelprivileg"). </P> <Table> <Tr> <Td> </Td> <Td> This section does not cite any sources . Please help improve this section by adding citations to reliable sources . Unsourced material may be challenged and removed . (May 2014) (Learn how and when to remove this template message) </Td> </Tr> </Table>

What is the capital gains tax in canada