An issue has been reported in Trust returns whereby the user has entered a net capital gain, but is not sure why there is a reduction pulling through, affecting Attributable Net Capital Gains.
The cause is due to the total net income or loss of the trust, less franking credits, is less than franked distributions plus net capital gains, a reduction is required under sections 115-225(3) and 207-37(3).
In the Other Items section of the tax return, the following will be shown:
