Which of the following represent(s)the way in which Australian debt instruments are taxed differently from Australian equity instruments?

Question

Quizplus · Accepted Answer

Australian equity instruments are taxed as follows: capital gains and/or losses attract the capital gains tax (CGT)provisions,and dividends are taxed as ordinary income (note imputation has removed the double taxation of dividends that occurred under the previous classical tax system,but these payments are still subject to tax).In contrast,capital gains for debt instruments are taxed as ordinary income rather than attracting CGT.

Which of the Following Represent(s)the Way in Which Australian Debt the dividends on Australian equity instruments are not taxed \text { the dividends on Australian equity instruments are not taxed } the dividends on Australian equity instruments are not taxed

Which of the Following Represent(s)the Way in Which Australian Debt $\text { the dividends on Australian equity instruments are not taxed }$