CGT Issue

Viewing 9 posts - 1 through 9 (of 9 total)

Hans Bond
Member
@hans-bond
Join Date: 2009
Post Count: 10
June 12, 2012 - 7:01 am
I'm considering to sell my house,
I bought it in Apr 2010 for $311K, lived on it for 6 months, then rent it out on Feb 2011.
The thing is I did not do valuation on my house when I rent it out.
I just did a valuation today and it turns out my house value is $350K.
How does it affect to my CGT?
I would assume if it is valued on Feb 2011 it will be more than $350K so I would have capital loss.
But for this case, would it become capital gain?
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
June 12, 2012 - 12:37 pm
Did you have another residence at the same time as this one?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
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Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hans Bond
Member
@hans-bond
Join Date: 2009
Post Count: 10
June 13, 2012 - 12:35 am
No, I have no other residence besides this one
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
June 13, 2012 - 2:47 am
Its probably CGT exempt then.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
BellaHADu
Participant
@bellahadu
Join Date: 2012
Post Count: 3
July 24, 2012 - 11:54 pm
Hi Terryw
Seen your name pop up a few times thought you could help. Not sure if you would see my original post so i posted it here
sorry new to all this.
My wife bought our family home in her maiden name in 2007 it has been our PPOR since day one. I have recently purchased a property with a friend and we are building a duplex and keeping one each. Once finished my wife and i plan to move into the new place for a year or so and in that time build a duplex on the original PPOR once that is done we want to sell my duplex and move back into the new one at her original PPOR would i have to pay CGT on the duplex i sell? or is it better to keep it and rent it out?
Thanks for any replies
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
July 24, 2012 - 11:59 pm
Yes, CGT and GST probably payable on duplex
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
BellaHADu
Participant
@bellahadu
Join Date: 2012
Post Count: 3
July 25, 2012 - 12:16 am
Thanks Terry
Even if we live in it first?
If thats the case maybe selling her PPOR first and moving straight into the new duplex making that our new PPOR would a better option The reason for moving back and forth was we love the street we currently live in.
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
July 25, 2012 - 12:23 am
Are you talking about your old PPOR? Could possible be done without CGT if one title and you move back into both sides. New duplex would be subject to CGT though.
You need expert tax advice on this before proceeding.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Kohlhagen Group
Member
@kohlhagen-group
Join Date: 2011
Post Count: 58
August 22, 2012 - 5:42 am
Not an easy situation to analyse. Is the diagram below what you are trying to do?
Please click the link if the picture does not load
http://i.imgur.com/wPO1Q.jpg