Tax Report Explained booklet. Macquarie Investment Accumulator Macquarie Investment Consolidator Macquarie Investment Manager

Transcription

1 Tax Report Explained booklet Macquarie Investment Accumulator Macquarie Investment Consolidator Macquarie Investment Manager Dated: september 2013 A

2 Understanding Wrap Tax Reports If you have a Macquarie Wrap account, completing your income tax return is now even easier with the Tax Report Explained booklet (booklet). To be used in conjunction with the Tax Report Summary (Summary Report) and Tax Report Detailed (Detailed Report), this booklet steps through how to use the Wrap Tax Reports to populate your individual income tax return by providing references to the individual income tax return labels for 2013 and an explanation of the numbers in your reports. How to use this booklet The purpose of this booklet is to explain how an investor, adviser or accountant should use Macquarie s Tax Reports when completing an individual income tax return. It also explains how the Summary Report and the Detailed Report work together to explain an investor s taxable position for an income year. Please note, not all sections shown in this booklet may have been received as part of a Tax Report pack. Investors will only receive sections of the report as they are applicable to their specific investment holdings. This booklet is not taxation advice, nor is it intended to replace the advice of a qualified tax agent. We recommend that clients seek independent taxation advice to determine whether the treatment outlined in this booklet is appropriate for their personal circumstances. The references and statements made are in respect of an individual Australian resident taxpayer. Entities and nonresidents may have a different tax treatment. B Macquarie Investment Manager (Investment Manager), Macquarie Investment Consolidator (Investment Consolidator) and Macquarie Investment Accumulator (Investment Accumulator) are investor directed portfolio services operated by Macquarie Investment Management Limited ABN (MIML) AFSL Collectively, these are referred to as the Service. MIML is not an authorised deposittaking institution for the purposes of the Banking Act (Cth) 1959, and unless otherwise specified in the offer documents MIML s obligations do not represent deposits or other liabilities of Macquarie Bank Limited ABN (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of MIML. Investments made through Investment Manager, Investment Consolidator and Investment Accumulator are subject to investment risk, including possible delays in repayment and loss of income or principal invested. Neither MBL, MIML nor any other member company of the Macquarie Group guarantees the repayment of capital or the performance or any particular rate of return of the investments purchased through Investment Manager, Investment Consolidator and Macquarie Investment Accumulator. This document has been prepared as a general guide only. This is not personal or tax advice. This Tax Report Explained booklet has been prepared without taking into account investors objectives, financial situation or needs. Therefore, before preparing an income tax return for any investor, the accountant should consider the appropriateness and relevance of the Tax Report Explained, taking into account their client s specific circumstances. MIML recommends that the general assumptions and tax policies section are read thoroughly because in some instances the policies applied may not be applicable to the specific circumstances of each investor and if this is the case, particular s may need to be recalculated using other reports available through the Service. We strongly recommend that the income tax return for the investor is prepared in conjunction with advice from an accountant or tax adviser. Note that references to Tax Reports cover the following tax reports issued by MIML for either Investment Manager, Investment Consolidator or Investment Accumulator.

3 Contents 1. Interest received 2 2. Dividends received 3 3. Managed Investment and Listed Trust distributions received 5 4. source income received 7 5. Other Australian income received 9 6. paid/incurred Capital gains/losses derived/incurred 11 Useful resources ATO tax return links Individual Trust Company Fund ATO tax return instructions links Individual Trust Company Fund Macquarie Wrap Tax website 1

4 1. Interest received Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Income Gross Interest Interest received Cash Interest received Listed equities Total Gross Interest L 11J 11C Dividends (received from equity investments) C3 Interest is generally considered derived when the s are paid. The Summary Report adds all interest s derived for an income year and discloses them in the Gross Interest section of this Report. Interest categories are: Cash account Listed equities Term deposits. Also disclosed is the total of no tax file number (TFN) and nonresident withholding tax (WHT) withheld in respect of interest derived in the current tax year. Completing an income tax return 1. a) For Investment Manager and Investment Consolidator clients, gross interest is the total of columns C3 and S5 Interest on the Detailed Report. b) For Investment Accumulator clients, the total gross interest is $0. 2. Add any interest received from bank accounts, convertible notes and other assets held outside the Service. 3. Do not include any interest received from managed investments and listed trusts held both within or outside the Service as this will need to be included as Partnership and trust income on the investor s income tax return. 4. Include the total of Australian assessable interest income at Item 10 Label L on the investor s income tax return. 5. If an investor has not provided their TFN, tax is withheld from the distribution during the tax year. Include the total of any TFN s withheld at Item 10 Label M of the tax return. Reconciling to the Detailed Report To view all s of interest derived on a transaction by transaction basis, refer to the Fixed Interest and Cash Investments section of the Detailed Report, specifically, Column C3 of the Detailed Report. INCOME Fixed Interest & Cash Investments (C) Australian Sourced Income Tax Deducted Income Tax Offsets Date Net (cash) Interest Other paid TFN WHT Nonresident income income tax offset C1 C2 C3 C4 C5 C6 C7 C8 Direct cash Cash account Jul Cash account Aug Cash account Sep Cash account Oct Total

5 2. Dividends received Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Income Dividends (received from equity investments) Unfranked (including Conduit Income) Franked credit Trust Distributions 1, , S 12K 11J 11T 12L 11K 11U 12M 11L S3 S2 S15 Dividends are considered assessable income when paid. Dividends received may be classified as franked or unfranked. Dividends received from managed investment and listed trust distributions are not included in dividend income. Rather, these s are included in the Trust Distribution section of the Tax Report. Conduit foreign income is included in the Summary Report as an unfranked dividend and is separately identified in the Detailed Report as conduit foreign income. Nonresident WHT has not been applied to this. In respect of franked dividends, Macquarie has undertaken a calculation to determine whether any franking credits may be denied under the 45 day rule. Any such s are separately disclosed in the Detailed Report in the Denied section. The Summary Report also discloses the of credits denied. The assumptions used in this calculation are shown in the Tax Guide for Completing an income tax return Franked Dividends and s An investor s assessable income includes franked dividends plus the franking credits received in respect of direct equities both held within and outside the Service. The Tax Report will also include s reinvested through a Dividend Reinvestment Plan. 1. a) For Investment Manager and Investment Consolidator clients, the cash of franked dividend income is the total of column S2 Franked dividends on the Detailed Report. b) For Investment Accumulator clients, the total franked dividends is $0. 2. Add franked dividend income received from direct equities held outside the Service. 3. Report the total of assessable franked dividends received from direct equities held both within and outside the Service at Item 11 Label T of the tax return. 4. credits received in respect of direct equities held within the Service is the total of column S15 credits on the Detailed Report. Reduce this by the franking credits denied under the 45 day rule/90 day rule shown in the Denied s (DF) section of the Detailed Report. Completing an income tax return Unfranked Dividends Assessable unfranked dividend income required to be reported on the income tax return is the of any unfranked dividends received in respect of direct equities held both within and outside the Service. 1. a) For Investment Manager and Investment Consolidator clients, unfranked dividends is the total of column S3 Unfranked dividends and S4 Conduit foreign income on the Detailed Report. b) For Investment Accumulator clients, the total unfranked dividends is $0. 2. Add any unfranked dividends received from direct equities held outside the Service. 3. Report the total of assessable unfranked dividends at Item 11 Label S of the tax return. 4. If an investor has not provided their TFN, tax is withheld from dividend payments during the tax year. Include the total of any TFN s withheld at Item 11 Label V of the tax return. 5. Add any available franking credits received from direct equities held outside the Service. 6. Report the total of any available franking credits received from direct equities held both within and outside the Service at Item 11 Label U of the tax return. 7. If an investor has not provided their TFN, tax is withheld from dividend payments during the tax year. Include the total of any TFN s withheld at Item 11 Label V of the tax return. 3

6 2. Dividends received Reconciling to the Detailed Report To view the dividends derived on a transaction by transaction basis, refer to columns S2 through to S4 on the Listed and Unlisted Securities section of the Detailed Report. These columns disclose the cash of assessable dividend income derived in the current year. INCOME Listed & Unlisted Securities (S) Australian Sourced Income Tax Deducted Date paid Net (cash) Franked dividends Unfranked dividends Conduit foreign income Interest Other TFN WHT Nonresident WHT S1 S2 S3 S4 S5 S6 S7 S8 Westpac Convertible Pref Shares Deferred (WBCPC) 02Apr Woolworths Limited (WOW) 12Oct12 1, , Total 1, , , To view the franking credits received on a transaction by transaction basis, refer to Column S15. INCOME Listed & Unlisted Securities (S) NonAssessable Amounts Income Tax Offset Tax free Tax exempt Tax deferred/ of capital income CFC FIF credits income tax offset paid S9 S10 S11 S12 S13 S14 S15 S16 S17 WOOLWORTHS LIMITED NOTES II (WOWHC) Westpac Convertible Pref Shares Deferred (WBCPC) Westpac Convertible Pref Shares Deferred (WBCPC) Woolworths Limited (WOW) Total (a) Please note that during the 2010/2011 tax year, the FIF provisions were repealed. The Accumulation Fund (FAF) regime has been introduced but is not yet enacted. Macquarie has left this FIF section in the 2012/2013 tax report but we expect this to be blank for the current year. Once the FAF legislation has been enacted, we expect the FIF section will be replaced with information relevant to FAFs. If you have any questions 4

7 3. Managed Investment and Listed Trust distributions received Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Income Trust Distributions Trust distributions less distributed net capital gains & foreign income Share of franking credits from franked dividends Q 8D T2;T3 T18 Gross Trust Distributions U 8R 11M Source Income Amounts from managed investments and listed trusts are considered assessable income when the s are declared by the trust and/or managed investment. For this reason an of cash received from a trust or managed investment after 30 June 2013 may still be included as assessable income in the 2013 tax year. The disclosed as the tax return is gross of any franking credits received. Income from managed investments and listed trusts includes: Dividend income (including franked and unfranked dividends and conduit foreign income) credits (including TransTasman imputation credits) Australian interest income Australian other income. It does not include: Capital gains income income tax offsets. These s are separately disclosed under the Source Income and Capital Gains/Losses sections of the Summary Report. Completing an income tax return Assessable trust distribution income required to be reported on an income tax return is the Australian income received in respect of managed investments and listed trusts including franking credits, excluding foreign income and capital gains. 1. For Investment Manager, Investment Consolidator and Investment Accumulator clients, the total of: a) column T2 Franked dividends b) column T3 Unfranked dividends c) column T4 Conduit foreign income d) column T5 Interest e) column T6 Other f) column C4 Other on the Detailed Report shows the cash of assessable income distributed from managed investments and listed trusts. 4. Reduce the franking credits for s denied under the 45 day rule from the Denied franking credit (DF) section of the Detailed Report. 5. Add any available franking credits received from managed investments and listed trusts held outside the Service. 6. Report assessable trust distribution income (including franking credits) at Item 13 Label U as nonprimary production income on the tax return. 7. Also report any available franking credits received from managed investments and listed trusts held both within and outside the Service at Item 13 Label Q. 8. If an investor has not provided their TFN, tax is withheld from trust distributions during the tax year. Include the total of any TFN s withheld at Item 13 Label R of the tax return. 2. Add to this any income received from managed investments and listed trusts held outside the Service. 3. credits received in respect of unlisted managed investment and listed trust distributions held within the Service is the total of column T18 credits, on the Detailed Report. 5

8 3. Managed Investment and Listed Trust distributions received Reconciling to the Detailed Report To view the s of trust distribution income derived on a transaction by transaction basis, they should refer to the Managed Investments and Listed Trusts section of the Detailed Report and add together the following column totals: Franked dividends (T2) Unfranked dividends (T3) Conduit foreign income (T4) Interest (T5) Other (T6). INCOME Managed Investments & Listed Trusts (T) Australian Sourced Income NonAssessable Amounts Date Net (cash) Franked Unfranked Conduit Interest Other declared/ dividends dividends foreign paid income Tax free Tax exempt Tax deferred/ of capital T1 T2 T3 T4 T5 T6 T7 T8 T9 Managed fund Transurban Group (TCL) 26Jul Westfield Retail Trust (WRT) 13Aug Total credits are shown at column T18. INCOME Managed Investments & Listed Trusts (T) Australian Sourced Income Tax Deducted Tax Offset Distributed Australian Capital Gains Gross discount Discounted Concession Indexed Other paid TFN WHT Nonresident WHT credits T10 T11 T12 T13 T14 T15 T16 T17 T18 Managed fund Transurban Group (TCL) Westfield Retail Trust (WRT) Total (a) The Gross discount at column T10 represents the total of the grossed up 100% distributed capital gains available for discount, rather than the discounted. Denied franking credits are shown in the Denied franking credit (DF) section. DENIED FRANKING CREDITS (DF) Listed & Unlisted Securities name Exdate Denied franking credits Telstra Corporation Limited (TLS) 20Feb Sub Total DF Grand Total The 45 day holding period rule may apply to deny franking credits available to you. These s have been separately reported above for your information. The 45 day rule methodology applied may not be correct where 6

9 4. source income received Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Income Source Income Income income tax offset 2, O 23Z 13C1 S12 Total Assessable Source Income 2, E & 20M 23B & 23V 11D1 & 11D Entities CFC 19K 22M, U or X 11D1 & 11D Other Income sourced income received may include: foreign dividends from foreign listed securities foreign income tax offsets (FITO) foreign income from managed investments and listed trusts. dividends are considered assessable income when paid. Alternatively, foreign sourced income derived from managed investments and listed trusts is assessable when the distribution is declared. The Summary Tax Report discloses the sum of the foreign income and FITOs which should be included in the tax return. The required to be disclosed of the tax return as assessable income is the foreign income received as cash, plus any FITOs. Assessable Controlled Company (CFC) income is also disclosed in this section. Typically, this is a noncash an investor receives from offshore companies. Completing an income tax return Income from foreign assets Assessable foreign income required to be reported on the income tax return is the of any foreign income and any associated FITOs received from foreign sources. It includes s distributed from managed investments and listed trusts as well as s received in respect of direct foreign equities. 1. a) For Investment Manager and Investment Consolidator clients, the cash of assessable foreign income is the total of columns T19 income and S12 income. b) For Investment Accumulator clients, the cash of assessable foreign income is the total of column T19 Income. 2. Add any FITOs received. For Investment Manager and Investment Consolidator clients, the of FITOs received is the total of columns T27 and S16 income tax offsets on the Detailed Report. For Investment Accumulator clients, the of FITOs received is the total of column T27 income tax offsets on the Detailed Report. 3. Add any other foreign income and associated FITOs received from investments held outside the Service. 4. Report the total of gross foreign income at Item 20 Label E of the tax return. 5. If an investor has current year and prior year foreign losses, Macquarie recommends they seek independent taxation advice to determine the availability of foreign losses to be offset against either foreign or Australian sourced income. From 1 July 2008, foreign losses are no longer quarantined into separate classes nor are they quarantined from Australian sourced assessable income. Note that foreign losses incurred prior to the preceding 10 income years cannot be utilised to offset assessable income. In addition to this, foreign losses incurred within this 10 year period must be converted into a single tax loss ; a figure which Macquarie is not able to calculate. 6. Report the total of remaining foreign income after losses have been deducted at Item 20 Label M of the tax return. 7. Calculate the of the FITOs that may be claimed. Include this at Item 20 Label O of the tax return. Please refer to the ATO publication Guide to foreign income tax offset rules to determine this. Income from foreign entities Attributed income from foreign entities may include s from CFCs. It will include s distributed from managed investments and listed trusts as well as s received in respect of direct equities. 1. a) For Investment Manager and Investment Consolidator clients, the of attributed assessable income from foreign entities is the total of columns T20 and S13 CFC in respect of their CFC investments. b) For Investment Accumulator clients, the of attributed assessable income from foreign entities is the total of column T20 CFC in respect of their CFC investments. 2. Add any other attributed income received from CFC investments held outside the Service. 3. Report attributed CFC income at Item 19 Label K of the tax return and print X in the YES box at Item 19 Label I. 4. Ensure that Item 19 Label W in relation to transferring assets is answered appropriately. 7

10 4. source income received Reconciling to the Detailed Report To view s of foreign sourced income derived on a transaction by transaction basis, refer columns T19 Managed Investments and Listed Trusts section of the Detailed Report and S12 in the Listed and Unlisted Securities section of the Detailed Report. For details of assessable attributed CFC income, refer to column T20 in the Managed Investments and Listed Trusts section of the Detailed Report and S13 in the Listed and Unlisted Securities section of the Detailed Report. For details of FITO s, refer to column T27 in the Managed Investments and Listed Trusts section of the Detailed Report and S16 in the Listed and Unlisted Securities section of the Detailed Report. INCOME Managed Investments & Listed Trusts (T) Income Distributed Capital Gains Tax Offset income CFC FIF Gross discount Discounted Concession Indexed Other income tax offset GVI Aubrey Global Growth & Income Hgd (TGP0004AU) Investors Mutual Australian Share Fund (IML0002AU) Total T19 T20 T21 T22 T23 T24 T25 T26 T27 (c) Please note that during the 2010/2011 tax year, the FIF provisions were repealed. The Accumulation Fund (FAF) regime has been introduced but is not yet enacted. Macquarie has left this FIF section in the 2012/2013 tax report but we expect this to be blank for the current year. Once the FAF legislation has been enacted, we expect the FIF section will be replaced with information relevant to FAFs. If you have any questions INCOME Listed & Unlisted Securities (S) NonAssessable Amounts Income Tax Offset Tax free Tax exempt Tax deferred/ of capital income CFC FIF credits income tax offset paid S9 S10 S11 S12 S13 S14 S15 S16 S17 Australian listed security James Hardie Industries PLC (JHX) 2, James Hardie Industries PLC (JHX) Lend Lease Group (LLC) Lend Lease Group (LLC) Total 2, (a) Please note that during the 2010/2011 tax year, the FIF provisions were repealed. The Accumulation Fund (FAF) regime has been introduced but is not yet enacted. Macquarie has left this FIF section in the 2012/2013 tax report but we expect this to be blank for the current year. Once the FAF legislation has been enacted, we expect the FIF section will be replaced with information relevant to FAFs. If you have any questions 8

11 5. Other Australian income received Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Income Other Income Gain from disposal of convertible notes + other income Other income listed securities O3 Total Other Income V 14O 11S Other Australian income received includes: any profit from the disposal of traditional securities (eg some convertible notes) other income distributed. These s are considered assessable income when the s are paid by fund managers and trustees or when the securities are disposed of. Completing an income tax return Assessable other Australian income required to be reported on the income tax return is the received in respect of disposals of traditional securities and any other income received from assets held outside the Service. Reconciling to the Detailed Report To view other Australian income derived on a transaction by transaction basis, refer to the Other Income section of the Detailed Report, specifically, Column O3 of the Detailed Report. 1. a) For Investment Manager and Investment Consolidator clients, other income is the total of column O3 Assessable income/loss and S6 Other on the Detailed Report. b) For Investment Accumulator clients, the total other Australian income is $0. 2. Add any other Australian other income received from assets held outside the Service. 3. Report assessable Australian other income at Item 24 Label V as Category 2 income of the tax return. The investor may also have Category 1 income from assets held outside the Service that will need to be separately disclosed. OTHER INCOME (O) Event Units Purchase date Sale date/ maturity Purchase cost Net proceeds Assessable income/loss O1 O2 O3 Fund Manager Rebate Total

12 6. paid/incurred Distributed ($) Denied ($) Tax Amount ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. 1 Government Charges F1 Adviser Fees F2 Adviser Establishment Fees F3 Adviser Service Fees F4 Adviser Transaction Fees F5 Administration Fees F6 Interest Paid (Margin Loan) F7 Other Total Deductions D7I,D8H or 13Y 16P 12I1 Tax Deducted This section of the Summary Report provides a summary of all the expenses an investor may have incurred in the current income year. The s disclosed in the Summary Report are either considered deductible under the current taxation law or have been elected by advisers as deductible in the current year. The section of your Summary Report lists the following type of expenses: Interest paid in respect of margin loans Adviser fees Administration fees Government charges (including any stamp duty paid). Completing an income tax return The Total Deduction shown on the Summary Report can be reported on an income tax return at the labels indicated. Any s incurred outside an investor s portfolio will need to be added to the disclosed on the Summary Report prior to it being reported on any return. Reconciling to the Detailed Report To view expenses incurred in an account during the current income tax year, refer to the Fees and section of the Detailed Report references F1 through to F7. The s will be separated between deductible and nondeductible based on the above criteria. FEES AND EXPENSES (F) In respect of Total payments Deductible Nondeductible Unallocated Government Charges F1 Adviser Fees F2 Adviser Establishment Fees F3 Adviser Service Fees F4 1, , Adviser Transaction Fees F5 Administration Fees F Interest Paid (Margin Loan) F7 Total 2, ,

13 7. Capital gains/losses derived/incurred TARP ($) NonTARP ($) Taxable ($) Individual Tax Trust Tax SMSF Tax Tax Report Detailed Ref. Capital Gains/Losses Capital gains from trust distributions Discounted (Grossed up ) 1, , Indexed Other Total 1, T10;X2 Capital gains from the disposal of assets 2 Discounted (Grossed up ) Other Losses (3,485.80) (3,485.80) R9 Total Current Year Capital Gains Discounted (Grossed up ) 1, , Indexed Other Net Capital Gains Gross capital gains before losses applied Current year capital losses sale of assets Total Gross Capital Gains After Losses Applied CGT Discount Applied to Gross Capital Gains Net Capital Gains After Discount Applied or Net Capital Losses Carried Forward To Later Income Years 1, , (3,485.80) (1,990.24) or (1,990.24) 50% 18A 18V 50% 21A 33.33% 11A Any capital gains or losses realised from the disposal of assets, whether directly or indirectly, is included in this section of the Summary Report. Capital gains or losses are considered derived or incurred when the asset is directly disposed of or alternatively, when a managed investment or listed trust declares a capital distribution. Excess assessable gains will be reported in the Capital gains from trust distributions section in the Summary Report and in the Excess Assessable Gains (X) section in the Detailed Report. Capital gains included in this section include gains which have an Australian and/or foreign source. Capital gains disclosed in your Summary Report are separated out into Taxable Australian Real Property (TARP) Gains and nontarp Gains. This distinction is important for nonresident investors and intermediaries (ie those which have nonresident clients), however does not alter the taxation treatment for Australian resident investors. Gains are then further classified into: Gross discounted capital gains Indexed capital gains Other capital gains (ie those derived from assets which have been held for less than 12 months). Where relevant, capital losses are also disclosed. The Summary Report calculates a net capital gain or loss position which can be added to any capital gains or losses derived or incurred outside your portfolio. Broadly, Macquarie offsets losses in the following order: first against Other capital gains then against Indexed capital gains then against Gross discounted gains. Any capital gain remaining will have the applicable CGT discount percentage applied and the resulting is to be disclosed in the tax return. Excess prior year and current year capital losses may be carried forward, subject to specific restrictions. It is important to note that Macquarie does not maintain any carry forward capital loss balances that may have been realised in prior years. 11

14 7. Capital gains/losses derived/incurred Completing an income tax return The Net Capital Gain or Loss shown on the Summary Report can be reported at the tax return labels indicated. Any capital gains or losses derived or incurred outside an investor s portfolio will need to be added to the disclosed on the Summary Report prior to being including in the tax return. Gross capital gains from managed investment and listed trust distributions, asset realisations and excess assessable gains Distributed capital gains 1. For Investment Manager, Investment Consolidator and Investment Accumulator clients, gross discounted capital gains are the sum of T10 and T22 Gross discount. This is the gross capital gain prior to any losses or discount percentages being applied. 2. For Investment Manager, Investment Consolidator and Investment Accumulator clients, indexed capital gains is the sum of columns T13 and T25 Indexed. 3. For Investment Manager, Investment Consolidator and Investment Accumulator clients, other capital gains are capital gains arising from the sale of assets held for less than 12 months and are the sum of columns T14 and T26 Other. Realised capital gains 1. A capital gains position must be determined upon the realisation of a CGT asset. 2. The Detailed Report calculates discount capital gains, other capital gains and capital losses. It does not calculate capital gains using the indexation method. 3. The Detailed Report only outlines: Gross discount at R5 Discounted 50% at R6 Discounted 33 1 / 3% at R7 Other at R8 Capital losses at R9. Excess assessable gains 1. Excess assessable capital gains arise when distributions comprising tax deferred or return of capital s reduce the cost base of an asset below zero. 2. The Detailed Report calculates discount capital gains and other capital gains. It does not calculate capital gains using the indexation method or capital losses. 3. The Detailed Report only outlines: Excess Assessable Gain Amount at X1 Gross discount at X2 Discounted 50% at X3 Discounted 33 1 / 3% at X4 Other at X5. Total gross capital gains and net capital gains 1. Add together all gross discounted capital gains, indexed capital gains, other capital gains from distributions, excess assessable gains and capital gains upon the disposal of assets from both within and outside the Service. 2. Report total capital gains at Item 18 Label H of the tax return. 3. To calculate the net capital gain, apply any capital losses against gross capital gains, then apply any available discount. 4. Report net capital gains at Item 18 Label A of the tax return. 12

15 7. Capital gains/losses derived/incurred Reconciling to the Detailed Report To view any capital gains they have derived throughout the year, refer to the following sections: Gross discounted Australian sourced capital gains from trusts (T10) Gross discounted sourced capital gains from trusts (T22) Indexed Australian sourced capital gains from trusts (T13) Indexed sourced capital gains from trusts (T25) Other Australian sourced capital gains from trusts (T14) Other sourced capital gains from trusts (T26) Gross discounted Disposal of capital items (R5) Other Disposal of capital items (R8) Excess Assessable Gain Excess assessable gains (X1) Gross discount Excess assessable gains (X2) Other Excess assessable gains (X5). INCOME Managed Investments & Listed Trusts (T) Australian Sourced Income Tax Deducted Tax Offset Distributed Australian Capital Gains Gross discount Discounted Concession Indexed Other paid TFN WHT Nonresident WHT credits T10 T11 T12 T13 T14 T15 T16 T17 T18 UBS Clarion Global Prop Sec Fund (HML0016AU) UBS Clarion Global Prop Sec Fund (HML0016AU) , , Total , INCOME Managed Investments & Listed Trusts (T) Income Tax Offset Distributed Capital Gains income CFC FIF Gross discount Discounted Concession Indexed Other income tax offset UBS Clarion Global Prop Sec Fund (HML0016AU) 1, T19 T20 T21 T22 T23 T24 T25 T26 T Total 1, DISPOSAL OF CAPITAL ITEMS COST BASE/PROCEEDS INFORMATION (R) Units Purchase date Sale date Adjusted cost base Indexed adjusted cost Net sale proceeds Proceeds less cost Gross discount Discounted 50% Discounted 33 1/3 % Other Capital losses R1 R2 R2 R4 R5 R6 R7 R8 R9 Far Limited (FAR) Icon Energy Limited (ICN) Icon Energy Limited (ICN) 88,000 18Apr12 31May13 4, , (1,471.80) (1,471.80) 16,700 18Apr12 31May13 3, , (1,643.48) (1,643.48) 4,545 07Dec12 31May13 1, (370.52) (370.52) Total 9, , (3,485.80) (3,485.80) EXCESS ASSESSABLE GAINS (X) Underlying Asset (applicable to Stapled Securities) Units Purchase date Date declared/ paid Excess Assessable Gain Amount Gross discount Discounted 50% Discounted 33 1/3 % Other X1 X2 X3 X4 X5 Global Mining Investments Limited (GMI) 15, Sep11 27Nov12 1, , Total 1, ,

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18 Notes If you wish to contact Macquarie, call or you can visit the website at macquarie.com.au/clientview or macquarie.com.au/wraptax Macquarie Wrap GPO Box 4045 Sydney NSW MW131 09/13