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Re: 6 year rule

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Newbie

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Replies 5

Hello, I have a question, I am a PR of australia, I purchased a home in Sydney in 2013, lived there for two years then moved overseas for a job, I purchased a home here and rented out the Sydney Propertt, but I am not an PR or citizen of this country, I would like to come back to Australia but not sure when.

If I sell the sydney property now, can I treat it as my main residence to avoid the cgt? The examples provided on ATO website seems to allow us to nominate one of our two main residences at a time, regardless which one we live in, but just want to make sure! Thanks
1 ACCEPTED SOLUTION

Accepted Solutions
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Best answer

Taxicorn

Replies 0

@Miamia 

so if I sell before July I can still treat the Sydney property as the main residence and pay no CGT, even I own an overseas property which I am living in, right?

 

Correct.

 

Does this just mean I will not be able to treat the oversea property as the main residence during the overlapped period, right?

 

Correct

5 REPLIES 5
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Taxicorn

Replies 4

@Miamia 

 

Make sure that you sell it before 30 June 2020 or you will lose main resident exemption as you are no longer considered to be an Australian resident for tax purposes.

 

This will mean that you will have to pay CGT.

 

 

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Newbie

Replies 3

Thanks

could anyone answer my other question, can I claim the 6 year rule on the sydney property while living in a purchased home overseas?
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Taxicorn

Replies 2

@Miamia 

 

No, you can't because you are no longer considered to be an Australian Resident for tax purposes (if you sell it after June 30 2020).

 

If you sell it before June 30, 2020, then yes you can.

 

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Newbie

Replies 1

Hi thank you, so if I sell before July I can still treat the sydney property as main residency and pay no cgt, even I own an overseas property which I am living in, right? Does this just mean I will not be able to treat the oversea property as main residency during the overlapped period, right?

Can anyone from ATO certify the answer? Thank you so much! I am trying to be a good citizen here!
Highlighted

Best answer

Taxicorn

Replies 0

@Miamia 

so if I sell before July I can still treat the Sydney property as the main residence and pay no CGT, even I own an overseas property which I am living in, right?

 

Correct.

 

Does this just mean I will not be able to treat the oversea property as the main residence during the overlapped period, right?

 

Correct