Hi All,
I have question relating to stamp duty and tax return.
We have bought a block of land and paid stamp duty in the current financial year (07-08), we are in the process of building a house on the block, the construction will be finished some time in December 08. The property is an investment and will be rented out.
now the question is which year the stamp duty can be claimed in 07-08 tax returns or 08-09 tax returns.
Thanks
I don't think you can claim stamp duty for tax deduction. It can only be capitalised when you sell your property.
Check with your accountantIf you are referring to the Transfer Stamp Duty this is added to the Cost Base for when you sell the property however if you are enquiring about mortgage stamp duty (Only applicable in certain States) then this can be claimed and is considered a loan cost hence it is proportioned over a 5 year period or the term of the loan whichever is shorter.
Richard Taylor | Australia's leading private lender
If you are referring to the Transfer Stamp Duty this is added to the Cost Base for when you sell the property however if you are enquiring about mortgage stamp duty (Only applicable in certain States) then this can be claimed and is considered a loan cost hence it is proportioned over a 5 year period or the term of the loan whichever is shorter.
Richard Taylor | Australia's leading private lender
Sorry guys, I gorgot to mention. The land in in ACT, where its a lease type of arrangement, the stamp duty is claimable upfront. What I am not sure whether the stamp duty can be claimed boref house if built and rented out.
Ta
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