no it doesn't because it is its trading stock. They book it at cost because it can only be booked at cost for accounting purposes. It's the same a company making cakes that cost them $1 to create a finished product and they sell for $5 on market.
In any event, whether the CGT rules or the trading stock provisions apply, the result is the same as a company doesn't get access to the 50% CGT discount and so any gains are taxed at the same company rate of 30%.
TBR Price at posting:
$10.50 Sentiment: None Disclosure: Not Held
