A number of asset improvements were made to the property (eg Garage, Air Con, New Kitchen) sometime after the property was purchased. These items have been depreciated and depreciation expenses claimed over a number of tax years resulting in a closing/written down value. I have been advised that I cannot use the written down value to reduce the capital gain. I have found an example on ATO website that seems similar to my situation.
CGT when selling your rental property | Australian Taxation Office (ato.gov.au)
It allows the inclusion of cost of property improvements and the "adding back in" of "decline in value" tax deductions when determining the cost base. This is essentially the same as arriving at a written down value.
Can anyone from ATO advise?
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