ATO confirms tax treatment for GTN capital return

GTN Limited announced it has received a final Class Ruling (CR 2025/65) from the Australian Taxation Office (ATO) regarding its $0.23 per share capital return, paid on August 11, 2025. The ruling confirms no portion of the capital return will be considered a dividend for Australian income tax purposes.

For Australian resident shareholders holding GTN shares on capital account, the cost base of each share will be reduced by $0.23. If the cost base is less than $0.23, a capital gain equal to the difference will arise, potentially eligible for a capital gain discount. Qualifying foreign resident shareholders will disregard any capital gain from the capital return. The ruling also states no adverse tax consequences arise for GTN Limited.

The Class Ruling can be accessed on the ATO website by searching for "CR 2025/65" or on the GTN Investor Centre. Shareholders are encouraged to review the full ruling and consult their tax advisers for specific circumstances.