Assets that have a necessary connection with Australia include:
- land or a building in Australia (or an interest in land or a building)
- a CGT asset that you have used in carrying on a business through a permanent establishment in Australia
- a share in a private company that is an Australian resident company for the income year in which the CGT event happens
- a share, or an interest in a share, in a public company that is an Australian resident company and in which you and your associates own at least
- 10% of the value of the shares at any time during the five years before the CGT event happens
- a unit in a unit trust that is a resident trust and in which you and your associates own at least 10% of the issued units at any time during the five years before the CGT event happens
- a unit or other interest in a trust that is a resident trust for CGT purposes for the income year in which the CGT event happens, and
- an option or right to acquire a CGT asset listed above.
Assets that do not fall within one of these categories-for example, land or a building overseas or shares in a foreign company-do not have the necessary connection with Australia.