As we are moving onto a new PPOR, I am currently considering whether we should keep our PPOR and make it an IP. I trust this has been done many times before although I have tried a few searches but cannot find where this has been discussed before.
Specifically, I would like to learn the following:
- how is the purchase price determined?
- is depreciation calculated in the same way or are there special allowances since the property was not previously owned for earning income?
- is the financial loss this property makes subject to the same tax advantages as a normal IP?
I am only starting to research this matter so if there is anything else which you think I should know or can point me in the direction of further information, it would be appreciated.
Thanks
Specifically, I would like to learn the following:
- how is the purchase price determined?
- is depreciation calculated in the same way or are there special allowances since the property was not previously owned for earning income?
- is the financial loss this property makes subject to the same tax advantages as a normal IP?
I am only starting to research this matter so if there is anything else which you think I should know or can point me in the direction of further information, it would be appreciated.
Thanks