G'day Guys, I'm just trying to work this out & hope you can help: As far as tax office & investments are concerned, first money in is first money out, right. Just for simplicity Nov04 - $250k investment loan + $250k margin loan. Bought into Navra Aust. Retail fund. (All distributions reinvested, other applications made since ect) Nov06 - $100k addition to margin loan. Bought $100k Navra American fund. (All distributions reinvested) All margin loan interest is being capitalised. Jun07 - I want to sell off the American fund for deposit & costs on next IP so I sell fund, margin loan is then reduced by that amount (lets say $105k). Small Cap. Gains tax triggered. I then draw down that $105k from Margin lender. Using that $105k for deposit on next IP, would that $105k be deemed to have been the original (first) $105k invested in the Aust. fund? (As that original investment was from an investment loan I would then apportion that amount against the new IP for tax purposes, would that be right?) Thanks.