We have a time table about John:
DATE| ACTIVE| $| PROPERTY
01/03/1996| Order | $22.99, 000. 00 | Burwood
01/07/2011| Purchase | $300, 1000. 00 | Camberwell| 01/09/2011| Declared this house to be his key residence| | Camberwell| 30/12/2011| Post to New York, lease property| | Camberwell| 01/03/2012| Sell| $175, 000. 00 | Burwood
30/12/2016| Back to Melbourne| |
01/02/2017| Sell| $250, 000. 00 | Camberwell
The CGT consequences of those events must process since follow: Home at Burwood
Step 1 -- has selection a capital gain or perhaps loss?
Step 1. has he made a capital gain or loss? | BURWOOD| CAMBERWELL| | |
Question 1 . | Has a CGT function happened towards the taxpayer? | Disposals | [s104-A]| Units | [s104-A]| Question installment payments on your | Is definitely the asset a CGT advantage? | land and buildings| [s108-5]| land and buildings| [s108-5]| Problem 3. | Does very or permission apply? | No*| [s 118-100] [s118-100]| Yes**| [s 118-100] [s118-100]| Question 4. | Can there be a roll-over? | No| [s112-115]| No| [s112-115]| 5. In this question, this home is not really the main property during the whole of the title period **
2 – lift weights amount of capital gain or loss
Step 1 -- has selection a capital gain or loss?
Because the Burwood house was John's main house and completely not been used for income- producing purposes, ITAA97 s118-140 allows Steve to treat both Burwood and Camberwell houses as his main house for a period of six months prior to the date of disposal from the Burwood home on 1/05/2011(01/05/2012). Under s118-130, where land or a house which is the taxpayer's primary residence is definitely acquired or perhaps disposed of within contract and legal possession does not move until a later period, then CGT is to be determined on the basis of legal ownership. The basis of legal ownership is normally when the contract for acquisition and disposal is completed. In John's case this kind of...