This FAQ covers CGT on your withdrawals and transactions. For information on how distributions are taxed, see How are distributions taxed?
Capital gains tax (CGT) may apply when you sell or withdraw units from a Spaceship Voyager portfolio. Here's a summary of how CGT works in the context of Spaceship Voyager and where to find the information you'll need at tax time.
How CGT applies to you
When you withdraw from a Spaceship Voyager portfolio, you may trigger a capital gain or loss. As the beneficial owner of the underlying assets (meaning you own the assets the portfolio invests in, even though we hold them on your behalf), you're responsible for reporting any capital gains or losses in your tax return.
CGT may also apply when your monthly fee is paid, as units may be sold to cover it.
How we estimate capital gains
We use the "first in, first out" (FIFO) method to estimate your capital gains. This assumes the first units you were issued are the first ones redeemed when you make a withdrawal. The estimate is calculated as the capital proceeds minus the cost base of the units sold (the cost base being what you originally paid for them, adjusted over time).
We track the cost base of your units and update it at the end of each financial year to reflect any tax adjustments.
A couple of things to keep in mind:
The FIFO estimate is for information purposes only. It may not account for all tax considerations relevant to your situation, including any CGT discount you may be eligible for.
You may be able to use a different parcel-allocation method for your tax return, such as "last in, first out" (LIFO). A registered tax agent can help you work out what's right for you.
Where to find your CGT information
Your Spaceship Voyager annual statement includes a CGT estimate for any portfolio withdrawals made during the financial year.
If you close your Spaceship Voyager account during the year, your exit statement will also include a CGT estimate for that period, so you won't need to wait until the end of the financial year.
Getting personalised tax advice
The information above is general in nature. For guidance specific to your situation, speak to a registered tax practitioner or visit the Australian Taxation Office (ATO) website.