Australian Government to provide Capital Gains Tax relief for water entitlements 18 December 2009 The Australian Government is planning to widen the Capital Gains Tax (CGT) relief available to irrigators and other operators. The new tax roll-over for water entitlements and water allocations was jointly announced by Senator Nick Sherry, Australia’s Assistant Treasurer, and Senator Penny Wong, Australia’s Minister for Climate Change and Water. An extension of an earlier announced Capital Gains Tax relief for irrigators, the new roll-over will provide certainty for operators making changes to their arrangements to ensure compliance with the Water Market Rules 2009. “The Government has taken this decision after consulting widely with irrigators and operators and listening to their concerns,” Senator Sherry said. “The extension of this tax roll-over will mean that the tax system does not stand in the way of transformation and the efficient use of water for irrigators and operators.” Senator Wong noted that a fair and efficient water market “provides irrigators with more options in managing their enterprises, and ensures that their property rights to water are fully respected.” More information |