I'm receiving the aged pension.
No other income or investment property.
I bought my residence in 2008 , lived there until 2016 when I moved overseas & rented it out for 8 years.
I have been back & living in my residence since February 2024.
I am thinking of selling & buying a home in a retirement village.
My question is ..will I have to pay CGT on my residence upon sale .
Thanks so much .
Whether you need to pay tax on any capital gain made from the sale is impossible to say. Capital gains tax is not a separate tax. See below
What is capital gains tax? | Australian Taxation Office
The sale itself is a CGT event as it is the sale of real estate, so the consideration here is whether the property can be considered your main residence (home) for your entire ownership period. If so, then it would be CGT exempt.
When you move out of your home you are able to continue to treat the dwelling as your home (main residence) for a period of time. The rule is outlined in the link
Treating former home as main residence | Australian Taxation Office
Under the rule, for each period of absence, you can continue to treat the dwelling as your home for a period of up to 6 years while rented, or indefinitely if not rented. As you rented it out for 8 years then for 2 years of that period, the property will be subject to CGT.
Thank you Taxduck !
15 Apr 2026 · 4 min read time
15 Apr 2026 · 8 min read time
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