okay, the home we (family) currently live in was purchased before september 1985 (no CGT, GST, etc) so is a bit of a keeper in that regard. my parents are seperated and finally moving away from each other. the home is in both the parents name, and they have decided that dad will redraw the equity in the home to pay mum out of the home.
after doing this the house will be put solely in his name, now just thinking about it, does that mean he “aquired” the house when it was originally bought with him and mum or when the title changes. effectively its not actually selling the home, just changing the title, but a similar thing at the same time. would he have to pay CGT on it? GST?
thanks
Hi Andy,
I suggest you search the ATO website for the CGT guide 2003/04 as there is a whole section (section
devoted to assets and marriage break ups.Stamp duty may also be a consideration – as SD is a state levied tax a search of the relevant Office of State Revenue would be appropriate at this time.
Also suggest a talk to a savvy aco<edited>ant.
Derek
[email protected]Property Investment Support Available.
Andycasey,
http://www.ato.gov.au/individuals/content.asp?doc=/content/43486.htm&page=19#P2951_293192
If a CGT asset, including a share of a jointly owned asset, was transferred to you because of the breakdown of your marriage and it was acquired by the transferor before 20 September 1985, you are also taken to have acquired the asset before that date. Any capital gain or capital loss you make when you later dispose of the asset will be disregarded.
devoted to assets and marriage break ups.
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