CGT for main residence

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 · Accepted Answer

JodieR_ATO · Answer

If the property in HK was your main residence immediately before you became an Australian resident for tax purposes, you can apply the 6yr rule (https://www.ato.gov.au/Forms/Guide-to-capital-gains-tax-2022/?anchor=Continuing_main_residence_status_after_d#:~:text=About%20this%20guide-,Continuing%20main%20residence%20status%20after%20dwelling%20ceases%20to%20be%20your,first%20becomes%20your%20main%20residence.). This is where you can continue to claim main residence exemption and rent it out for up to 6yrs without incurring CGT. If it's left vacant then the main residence exemption can continue indefinitely. So long as you don't own any other property. If you purchase a property, the 6mnth rule may not apply, as you need to meet the eligibility for it, which includes living in it at least 3mnths in the previous12mnths. You can view this from our webpage - Moving to a new main residence (https://www.ato.gov.au/individuals/capital-gains-tax/property-and-capital-gains-tax/your-main-residence-(home)/moving-to-a-new-main-residence/). We've added further information to your other post, you can view our response (https://community.ato.gov.au/s/question/a0J9s000000RRZ3EAO/p00225237) from here.

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