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Periodic AirBNB for the whole of own home and CGT

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Dear ATO Community,

 

I own my little home and am away on business travels around half of the time in stretches of 1 month or so. If I let all of my place to short-term renters via say AirBNB when I am away anyway, do you think the 6-year rule will let me not consider any CGT consequences when I need to sell the place? Just to be clear, I am not going to dedicate part of my place to be rented out. I'd like to let AirBNB guests use all of it when I am away anyway, and when I am back I have all of my place to myself.

 

The alternative of having the place professionally valued before and after each AirBNB rental is clearly not practical. I really liked it how ATO was able to accommodate the phenomenon of ride-sharing such as Uber into a clear and unambiguous guide. I hope there will be a guide for the typical cases of AirBNB letting too some day.

 

With thanks,

Ray

 

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Dear @Ray_Dee

 

Thank you for your post.

 

In answer to your question 'can you apply the CGT main resident six year rule' when you sell your home after renting through a sharing economy platform, I am sorry to say the answer is no you can't. For the reason why please look at the page on our website 'How capital gains tax applies'.

 

The third paragraph explains to be eligible 'you have to move completely out of your main residence to live in another home for a period of time'. A very useful tool when calculating your CGT is The Capital gains tax property exemption tool.

 

In regards to a guide for the typical cases of AirBNB I refer you to look at The sharing economy and tax link.

 

I hope this information is helpful!

 

Regards

DebC

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ATO Certified Response

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Dear @Ray_Dee

 

Thank you for your post.

 

In answer to your question 'can you apply the CGT main resident six year rule' when you sell your home after renting through a sharing economy platform, I am sorry to say the answer is no you can't. For the reason why please look at the page on our website 'How capital gains tax applies'.

 

The third paragraph explains to be eligible 'you have to move completely out of your main residence to live in another home for a period of time'. A very useful tool when calculating your CGT is The Capital gains tax property exemption tool.

 

In regards to a guide for the typical cases of AirBNB I refer you to look at The sharing economy and tax link.

 

I hope this information is helpful!

 

Regards

DebC