Originally Posted by
BlackPeter
The effective tax rate for gains from retirement villages is not Zero - It is (as soon as it is paid out) as high as the individual tax rate of the share holder. No benefit for the state to shift this tax obligation to the company by creating a special "tax Ryman" or whatever.
Any CGT proposal I have seen so far is on realised gains - and retirement villages don't realise their gains unless they sell their property, which they don't do.
A licence to occupy is not attracting a capital gains tax - and even if it would - its owners lose money. No taxes due for that.
B/S