I want to buy a house and live in it for 10 months. The house is very big and has few rooms. I might want to rent out one or two rooms. After 10 months I want to move out and rent the whole house (I want to use 6 year absent rule form then). Can you tell me if I sell the property after 9 or 10 years how ATO calculates the CGT? I want to treat the home as a main residence.
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If you know little about CGT then you will probably get lost in the maze of rules and guidelines.
Some information below
Treating former home as main residence | Australian Taxation Office
See hyperlink "Former home used for income before you move out"
From the guidelines, you can't claim the 6 year rule on that portion of the home you are renting out before you moved out.
The cost base for any gain/loss calculation when renting out your home is the market value of your home when first rented. Guidelines below.
Using your home for rental or business | Australian Taxation Office
The calculation for CGT is below
Partial exemption | Australian Taxation Office
When renting part of your home then the gain/loss is apportioned for the area rented (and days rented).
Renting out part of a home | Australian Taxation Office
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