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CamH(Newbie)Registered Tax Professional
10 Oct 2025

My partner and I are separating and selling our business. We qualify for CGT discount, and Active Asset Discount. As we will not be working in the same industry again, I believe that we will also qualify for Small Business Retirement Exemption. Is the main requirement simply that we nominate the amount to apply for SBRE and keep a record of the nomination for 7 years? Also, as we will both be over 55 years at the end of the financial year we don't need to make a non-concessional super contribution, but could if we chose to?

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2 replies
193 views
2 replies

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Most helpful reply

NikkiATO(Community Moderator)Community Moderator
13 Oct 2025

Hi @CamH,

 

You're on the right track – Since you and your partner will both be over 55 years at the end of the financial year, you're not required to make a contribution to superannuation under this concession.

 

For the retirement exemption to apply, you need to:

  • meet the basic conditions for the small business CGT concessions
  • choose the amount you want the exemption to apply to (up to the $500,000 lifetime limit per person)
  • make a written record of your choice before lodging your tax return for the year the CGT event happens.

 

The nomination needs to be made before you lodge your income tax return for the year the capital gain occurs.

 

While you don't have to make non-concessional super contributions, you can still choose to do so if it fits with your retirement plans – just make sure it’s within your contribution caps.

All replies

YellowPotato(Taxicorn)Taxicorn
10 Oct 2025

not sure about the Small business CGT concessions. Do make sure you sell your business in a way that it is capital gains. Remember that selling depreciating assets is income rather than CGT.

Most helpful reply

NikkiATO(Community Moderator)Community Moderator
13 Oct 2025

Hi @CamH,

 

You're on the right track – Since you and your partner will both be over 55 years at the end of the financial year, you're not required to make a contribution to superannuation under this concession.

 

For the retirement exemption to apply, you need to:

  • meet the basic conditions for the small business CGT concessions
  • choose the amount you want the exemption to apply to (up to the $500,000 lifetime limit per person)
  • make a written record of your choice before lodging your tax return for the year the CGT event happens.

 

The nomination needs to be made before you lodge your income tax return for the year the capital gain occurs.

 

While you don't have to make non-concessional super contributions, you can still choose to do so if it fits with your retirement plans – just make sure it’s within your contribution caps.

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