Hi
I already know if you hold an investment property for less than 12 months you pay more capital gains tax when selling as opposed to keeping it for more than 12 months.
My question is, if you have an investment property and sell after six months of owning it. If you sell at a LOSS, are there any suprises, good or bad, from the tax office.Any advice appreciated.
Not really.
The loss will be a capital loss so it cannot be used to reduce your taxable income. Can only be used to offset capital gains. If there are none in the same tax year then the loss is carried forward.
If you do have a capital gain in subsequent years then the loss will be applied before the 12 month discount.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
You must be logged in to reply to this topic. If you don't have an account, you can register here.
