Want to pay less tax when you sell an investment?

Look away now if you want to pay tax on your investments…

Because every single week, I’m reminded just how much money people accidentally hand over to the ATO, simply because they don’t know the rules.

A perfect example:

So many people have an investment property, shares or even crypto that has grown massively…

But they’re too scared to sell because of the capital gains tax hit.

It’s understandable seeing a big gain is exciting, but seeing the tax bill attached to it can be terrifying.

But here’s the thing: the gain itself isn’t the problem.

The lack of a plan is.

This week alone, we’re helping two clients exit investment properties with a combined $97,000 in capital gains tax savings, not by doing anything sneaky but by actually using rules the ATO already allows.

And that’s the real secret:

The smart move isn’t the sale.

It’s the planning before the sale.

When you understand the timing, the structure and the strategies available, you can soften or even eliminate a big chunk of the tax hit.

One of the most powerful tools we use is the catch-up contributions rule.

Most people don’t realise they may have unused concessional contributions from the last five years sitting there ready to be used.

When applied properly, this can turn a huge tax bill into a far smaller one.

It’s one of the biggest “money left on the table” opportunities we see.

Here’s the simple framework we use when helping someone exit an investment:

1. Capture

   Know the numbers. Cost base, gain, ownership structure, income, timing.

2. Context

   Understand your goals. Why sell? What’s the plan for the money?

3. Timing

   Map the best financial year to sell and whether to split the gain over different periods.

4. Strategy

   Apply the tools properly — catch-up contributions, offsets, structures, super strategies and other tax reducers.

We use this framework across so many situations:

• Selling investment properties

• Selling share portfolios

• Employee share schemes (vesting shares)

• Selling crypto

• Redundancy payouts

• Lump sum entitlements

• Business owners selling their business

• The list goes on.

The point is simple:

You don’t get rewarded for guessing.

You get rewarded for planning.

If you’ve got an investment you’d like to exit one day or you’ve been sitting on a big gain but afraid of the tax, SMS “Exit Plan” to 0483 937 777 and we’ll map out your smartest next step.

7Wealth Pty Ltd ABN 44609210246 is a Corporate Authorised Representatives and is authorised throughCobalt AdvisersPty Ltd ABN 64 628 654 099 who is an Australian Financial Services Licensee 512550. 7Wealth Pty Ltd is a Credit Representative ofAustralian Finance GroupLtd ABN 11 066 385 822 (AFG) Australian Credit Licence 389087.
This blog contains information that is general in nature. It does not constitute financial or taxation advice. The information does not take into account your objectives, needs and circumstances. We recommend that you obtain investment and taxation advice specific to your investment objectives, financial situation and particular needs before making any investment decision or acting on any of the information contained in this document. Subject to law, Cobalt Advisers Pty Ltd nor their directors, employees or authorised representatives, do not give any representation or warranty as to the reliability, accuracy or completeness of the information; or accepts any responsibility for any person acting, or refraining from acting, on the basis of the information contained in this document.