Hello
I bought a house about 3 years ago for 260K, I had it valued about 8 months ago at 320K (bank valuer ) 2 months before tenants moved out, and I moved in to renovate, I have just had it revalued by the same bank valuer for 440K.
Prior to making it my principal residence it has been rented out basically since I purchased it.
It has been my principal place of residence for 6 months.
My questions are.
Because the large amount of capital gain happened while I was using it as my principal residence, and I can prove it (via unbiased bank valuations), is that increase taken out of the CGT calculation.
when asked, my accountant mentioned something about having it not producing income for at least 12 months before I could obtain any form of exemption on CGT, although he was not sure.
Assuming I earn no money for this financial year, what would be the estimated CGT I would have to pay if I sold this property.
Figures again
Purchased 1999 for 260 K
rented out majority of the time.
Been my principal place of residence for 6 months.
recently valued at 440k (conservative)
Is a quantity surveyor able to reduce the CGT after a renovation by offsetting the renovation against the capital value.
Also can I offset any losses from my other rental properties (depreciation, interest etc) to reduce the final CGT bill I will have to pay, or is it classed seperately.
Would it be worthwhile to live in it for a bit longer before selling.
Regards Adam
I bought a house about 3 years ago for 260K, I had it valued about 8 months ago at 320K (bank valuer ) 2 months before tenants moved out, and I moved in to renovate, I have just had it revalued by the same bank valuer for 440K.
Prior to making it my principal residence it has been rented out basically since I purchased it.
It has been my principal place of residence for 6 months.
My questions are.
Because the large amount of capital gain happened while I was using it as my principal residence, and I can prove it (via unbiased bank valuations), is that increase taken out of the CGT calculation.
when asked, my accountant mentioned something about having it not producing income for at least 12 months before I could obtain any form of exemption on CGT, although he was not sure.
Assuming I earn no money for this financial year, what would be the estimated CGT I would have to pay if I sold this property.
Figures again
Purchased 1999 for 260 K
rented out majority of the time.
Been my principal place of residence for 6 months.
recently valued at 440k (conservative)
Is a quantity surveyor able to reduce the CGT after a renovation by offsetting the renovation against the capital value.
Also can I offset any losses from my other rental properties (depreciation, interest etc) to reduce the final CGT bill I will have to pay, or is it classed seperately.
Would it be worthwhile to live in it for a bit longer before selling.
Regards Adam
