Category «Capital Gains Tax – Houses and Land with No Private Purpose»

Starting a new period of absence from main residence

Question My wife and I bought a house in Sydney s joint tenants in September 2005, moved into it right away and lived there until August 2006, when moved to the USA. We have rented the house continuously since we moved, and expect to utilise the Absences rule in section 118-145. However we are approaching …

capital gains and write off of building when demolishing rental property

Question Hi. I purchased a rental property in May 2009. It was 100% rented from that time to when it was demolished (cost to demolish $10,000) in May 2011. I have since built a new home on the land after the rental house was demolished. I then moved into the home in November 2011 as …

Purchasing Investment property-Ownership structure

Question I am purcahsing investment property in Vic with view to build 2 units on site , retain original house.220,000I already own one investment property in Vic with no debt but loan offset account also have 60,000 cash. Am holding this as principal place of residence though I currently work and live in QLD and …

sub dividing land from a ppr

Question BackgroundWe downsized 2 years ago and purchased a small, older cottage as our PPR on a large block of land with the intention of doing a renovation/extension. We spent lots of money on initial plans and a bushfire report as we adjoin a small area of bushland. With new building restrictions in force regarding …

Tax implications on subdivision of a property

Question I wonder whether you would be able to help me with the following scenario?A property was purchased in May 2010 for $755,577. The property has a 3 bedroom house on it, which has been rented out since purchase. The size of the land is 735 square metres.The proposal is to subdivide the property, so …

Marginal Scheme

Question Hi, my question is regarding marginal Scheme. I have bought a block of land in 2009 with no GST payable on the land, from a private indiviual. Following that I have subdivided the block into 2 seperate Green Titles (both blocks identical in size)the subdivsion took 8months, after that I build 2 separate homes …

CGT on Strata Titled Apartment Block and Land

Question Our strata unit (and PPOR) is one of a block of four in one building. We have owned it since new in 1988, and it comprises 25% of the total complex property value, including all land, car parks, gardens, pool area etc. The other 3 units are divided into 1x 33%, and 2x 21% …

Option to sell subdivided land or build a unit and sell the original house

Question HiI am on a 140k per year income.My wife is a house carer who works part time earning arounf 4k to 5k per year. We have one daughter. I have a property in craigieburn for which was my own home purchased in sept 2007. I move to tassie and it was converted to investment …

Business Property Transfer to Self-managed Super Fund

Question I bought a shop on 25 June 1992 and it cost $188,448. I ran an antique business from the shop until 26 June 2003, when I retired. The shop was then rented to a jeweller. Commencing on 1 November 2007, I transferred one third of the property to my Self-managed Super Fund and the …

Building house to sell?

Question We are building a house to sell and will have to pay GST and income tax on it as we don’t intend to move in. We have been claiming Gst along the way and have set up an ABN. We have two lines of credit – one for $150000 which covers both our own …