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JSP(I'm new)I'm new
3 Mar 2023

I purchased an investment property in June 1999. It has been rented out until now. Im about to move i to the property as my primary home. How do/ does capital improvements made during the rental period and potentially during my "living in" period affect the cost base of the unit when I eventually, at some point in the future,sell and pay CGT?

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Bruce4Tax(Taxicorn)Taxicorn
4 Mar 2023

Improvements are added to cost base, but capital works claimed while rented reduce the cost base.


Main residence exemption is applied pro rata after capital gain has been determined.

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Most helpful reply

Bruce4Tax(Taxicorn)Taxicorn
4 Mar 2023

Improvements are added to cost base, but capital works claimed while rented reduce the cost base.


Main residence exemption is applied pro rata after capital gain has been determined.

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Capital improvements impact on the cost base of a rental property. | ATO Community