Hi Nicole, I was lucky enough to sell an investment property in July of last year. We had purchased it in 2006 and tripled our money. That’s great, but we have unfortunately had to use the proceeds to buy a second home for our family, on our separation. I am worried now about the $150,000 capital gains tax bill and, given the end of the financial year is fast approaching, wonder if there is anything we can do to minimise it.
Now the good news is that, having owned the property for more than a year, you qualify for a 50 per cent tax discount.How do you assess said profit? It’s the price you fetched versus the price you paid, less other items that can be added to the cost base.
The tax rate hits 45 cents in the dollar once income reaches $180,000, so also try to lower your employment earnings. You can implement standard tax-time strategies to achieve this, such as bring forward deductible expenses for next tax year to before July 1.
Look my naked photo ❤️😘 Look my naked photo ❤️😘
Just pay the bill!