Granny Flat & GST

Hi everyone,

I'd like to ask if I build a granny flat at the backyard of my PPR, move out to rent somewhere else, rent out the granny flat and the front house, and within 5 years, I sell the whole lot (one title), am I liable for CGT and GST?

I am concerned I may not get the full exemption because the granny flat is new residential property and has not been rented out for at least 5 years and I have never lived in the granny flat once the construction was completed.

 

yes you could be.