23+ Articles on the 6 Year Rule

I am collecting all my posts bunched on topics and indexing them. Here are 23 posts relating to the 6 year absence rule for CGT:

20-Aug-15 Tax Tip 23: The 6 year Absent from Main Residence Rule Tax Tip 23: The 6 year Absent from Main Residence Rule

24-Aug-15 Tax Tip 27: Borrowing to knock down PPOR and build duplex and Rent one Tax Tip 27: Borrowing to knock down PPOR and build duplex and Rent one

29-Mar-16 Tax Tip 105: Don’t Claim the 6 year rule where there is a capital loss Tax Tip 105: Don’t Claim the 6 year rule where there is a capital loss

11-Apr-16 Tax Tip 109: CGT and Being absent from the main residence for more than 6 years Tax Tip 109: CGT and Being absent from the main residence for more than 6 years

24-May-16 Tax Tip 129: Deductibility of Loans when later renting out your main residence. https://propertychat.com.au/community/threads/tax-tip-129-deductibility-of-loans-when-later-renting-out-your-main-residence.11043/

2-Jun-16 Tax Tip 132: Terminal Illness – tax aspects to Consider Tax Tips 132: Terminal Illness – tax aspects to Consider

14-Jun-16 Tax Tip 135: The 6 year rule and renting part of your property out Tax Tip 135: The 6 year rule and renting part of your property out

2-Jun-18 Tax Tip 177: Stretching the 6 year rule indefinitely Tax Tip 177: Stretching the 6 year absence rule indefinitely

30-Jan-19 Tax Tip 190: CGT Strategy Wait 5.5 Years Before Selling the Old Main Residence https://www.propertychat.com.au/community/threads/tax-tip-190-cgt-strategy-wait-5-5-years-before-selling-the-old-main-residence.36905/

2-Jun-19 Tax Tip 207: Tax Trap when renting out a New Property Tax Tip 207: Tax Trap when renting out a New Property

25-Jun-19 Tax Tip 218: Renting out Part of the Main Residence and CGT Tax Tip 218: Renting out Part of the Main Residence and CGT

26-Aug-19 Tax Tip 233: The 6 year rule when moving into an IP and then out again Tax Tip 233: The 6 year rule when moving into an IP and then out again

24-Sep-19 Tax Tip 245: Can you use the 6 year rule with a short rental on Airbnb? Tax Tip 245: Can you use the 6 year rule with a short rental on Airbnb?

8-Oct-19 Tax Tip 248: CGT when Renting out a Room in your Main Residence Tax Tip 248: CGT when Renting out a Room in your Main Residence

31-Oct-19 Tax Tip 254: Main Residence CGT Exemption Where one owner resides in the property and the other Tax Tip 254: Main Residence CGT Exemption Where one owner resides in the property and the other

10-Dec-19 Tax Tip 259: Timing of the 6 year Rule – when does it start Tax Tip 259: Timing of the 6 year Rule – when does it start

17-Jun-20 Tax Tip 292: The 6 Year Rule for CGT and the Need to move back in? Tax Tip 292: The 6 Year Rule for CGT and the Need to move back in?

1-Sep-20 Tax Tip 303: 6 Year Rule Trap on Spousal Transfers Tax Tip 303: 6 Year Rule Trap on Spousal Transfers

23-Sep-20 Tax Tip 310: Main Residence Exemption if You don’t Live in property but your kids do? Tax Tip 310: Main Residence Exemption if You don’t Live in property but your kids do?

3-Nov-20 Tax Tip 317: The 6 Year Rule for Non-Residents Tax Tip 317: The 6 Year Rule for Non-Residents

16-Dec-20 Tax Tip 321: CGT Differences between Renting a Main Residence and Moving into an IP Tax Tip 321: CGT Differences between Renting a Main Residence and Moving into an IP

30-Jan-21 Tax Tip 329: The 6 Year Rule and CGT When becoming a Non-Resident Tax Tip 329: The 6 Year Rule and CGT When becoming a Non-Resident

8-Feb-21 Tax Tip 333: Spousal Transfers While Non-Residents and CGT Tax Tip 333: Spousal Transfers While Non-Residents and CGT

 

9-Feb-21 Tax Tip 334: The Main Residence Exemption Doesn’t Apply to Property held on Revenue Account Tax Tip 334: The Main Residence Exemption Doesn’t Apply to Property held on Revenue Account

18-Feb-21 Tax Tip 337: Living in a property but Claiming another Residence as the Main Residence Tax Tip 337: Living in a property but Claiming another Residence as the Main Residence

 

2-Jul-21 Tax Tip 356: The Main Residence Exemption When 1 Owner lives there and the other owner doesn’t Tax Tip 356: The Main Residence Exemption When 1 Owner lives there and the other owner doesn’t

 

The major issue too is the absence generally means a choice MIGHT be available but isnt necesarily the case. It may be 100% or not. And now it may seem available to someone who ceases tax`residency...but insnt. It can be stripped away.

The message I share is CGT and the main residence can be VERY simple. And also VERY complex. Its complex like self diagnosis of a`health issue. You can be so confident you are right and its`wrong. I would suggest it is far safer and reliable to seek tax guidance except in the most simple cases. I often check client calcs and they are generally incorrect. You neither want to under report or over report CGT profits. And when you use the main residence exemption in whole or part each taxpayer MUST REPORT IT. Its not a case of ignoring it just because its 100% exempt....If you dont elect to choose the exemption..... did you avoid tax?

Rule #1 for all use of the absence rule.... is to ensure EACH property you have has a detailed CGT record of dates, costs and all relevant factors. Guessing what the issues are years later will be problematic if you didnt keep details. I just assisted a client who saved $75K in tax when I explained why he should have kept records for the past 14 years. It took a while for him to find the data but was well worth the time and eliminated the tax payable.

 

Tax Tip 385: Misunderstandings with the 6 Year Rule Tax Tip 385: Misunderstandings with the 6 Year Rule

 

Tax Tip 399: Claiming Expenses While Using the 6 Year Rule Tax Tip 399: Claiming Expenses While Using the 6 Year Rule

 

Tax Tip 464: The 6 Year Rule can Apply Even when a New Main Residence is Purchased Tax Tip 464: The 6 Year Rule can Apply Even when a New Main Residence is Purchased

 

Tax Tip 470: Different interests in the one property and the 6 year Rule Tax Tip 470: Different interests in the one property and the 6 year Rule

 

Tax Tip 479: The 6 Year Rule for Land Tax NSW Tax Tip 479: The 6 Year Rule for Land Tax NSW

 

Tax Tip 485: The Main Residence for CGT might not be the PPOR for Land Tax Tax Tip 485: The Main Residence for CGT might not be the PPOR for Land Tax

 

Strategy: Choosing which property to apply the Main Residence CGT exemption on Strategy: Choosing which property to apply the Main Residence CGT exemption on


Tax Tip 512: Worry about exceeding the 6 year Rule for CGT Tax Tip 512: Worry about exceeding the 6 year Rule for CGT

 

Tax Tip 525: 6 year Rule and being absent for more than 6 years and moving in again Tax Tip 525: 6 year Rule and being absent for more than 6 years and moving in again


Tax Tip 537: Applying the 6 Year Rule to Multiple Properties Tax Tip 537: Applying the 6 Year Rule to Multiple Properties

 

Tax Tip 570: Trustee Held Property, Right to Reside, 6 year Rule and No CGT Tax Tip 570: Trustee Held Property, Right to Reside, 6 year Rule and No CGT