My mother passed away late last year leaving her home to myself and my sister. The property was originally purchased in 2001 and my mother lived in it until her death. It was not used for earning income at anytime and is under 2Ha in size. It has been vacant for approximately 6 months (since her death).
I understand that if we sell the house within 2 years of my mother's death then we would not be liable for Capital Gains Tax (CGT). And, if we were to rent the property for more than 2 years and then sell we would be liable for CGT.
But would we be liable for CGT if one of us, who is a beneficiary of the house in our mothers will, were to move into the house as their principal place of residence and live there for over 2 years and then sell?
And would this change if either my sister or I were to pay rent to the other? Eg. I rent the property (valued at $600 per week) so pay $300 a week rent to my sister.
Thanks in advance.
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