Capital Gains Queries

[Sttinger]

Hi Everyone,

Just a quick question around CGT. The tax office allows a deduction for interest, rates etc if the property was used to generate income. However, can you still claim the deduction if the property was advertised for lease etc but was not actually rented?

So for example if I buy an investment property in year x, advertise it for rent but no one moves in. At the end of year x+1 the property is stil empty and I decide to sell the property and make a capital gain. Can I still claim the interest and rates etc?

Any help would be much appreciated.

 

[geoffw]

Yes, if the property was available for rent you can claim deductions.

Interest and rates aren't claimable against CGT, but against your current income. But acquisition costs can be claimed against CGT.

Make sure that you've held it for more than 12 months, you halve your CGT.