I Hate CGT!

Grrrr......My accountant is just finishing off 2017-2018 year & I forgot about the CGT. Here I was expecting, maybe, a small refund & wham.....huge bill instead. Well, in my defense I knew I had to pay it, but it's been such a long time since I'd sold the property, that it had slipped my mind. There's one offset that's going to look a little sad now.

 

Lesson to learn. Going forward only buy assets that you never want to sell. Never have to ever worry about CGT.

Cheers,
Oracle.

 

Potentially big implications for CGT from 1 January 2020 - depending on the election results.

 

It can also work out well. I just advised someone on a UK property. Their UK adviser advised on how to minimise UK CGT and so did I for the AU tax issues. The final tax will be far far less than the client feared and the issue of the abandoned CGT changes also assist.

Its nice to give people good news.

 

Yeah... so if CGT discount drops to 25%, you’re better off selling sooner (if you are thinking of sellling). Personally I think the Liberals will win, but ScMo does nothing for me (I totally forgot his name to be quite honest! I had to google who our PM is)

 

Nah! Everything's for sale......at the right price.

 

Hmmm....maybe.....but if they do something like that, I'm betting existing stuff will be grandfathered in.

 

Then you have to get used to doing things you hate like paying large amounts of CGT (probably more after next election)

Cheers,
Oracle.

 

They did announce this. NEW Investments made from 1 January 2020 will be caught. Existing investments will retain the 50% discount.

Critical dates and details released on Labor's negative gearing, CGT changes

 

Just because I have to pay it, doesn't mean I have to like it.

 

Much easier to deal with things you like

Cheers,
Oracle.

 

Just find a different way of disposal - series of leases (with very favourable conditions to the tenant), an option with a big option fee, low sale price.

(Ooops, just gave the game away ).

 

Cost of doing business. I'd rather pay tax and make profits than get money back from NG while my assets stay in stone forever as I become old and decrepit .

If you can't enjoy the CG via sexy chunks of profits taken at some stage , then there's no freakin point to it all. I am not interested in collecting bricks forever.

 

I sold 2 last year, one in Melbourne and one in NZ. Selling two in NZ this tax year. Tax is crappy but I'd still rather take the profits.

 

Here’s one solution:- make some (paper) tax losses now so when you crystallise your CG in the future, you can claw back those tax losses .

 

Just be thankful you sold at a profit.
Sell at a loss and you won’t have to worry about CGT.
Marg

 

That’s why I prefer paper tax losses.

My wife sold some CBA shares last FY and achieved a $40,000 gain.

She didn’t have to pay any CGT .

We are looking to sell an IP in a few years, hopefully with a sizeable gain. We don’t expect to pay any CGT, even if the ALP gets in and passes their policy .

 

Tax avoider you!!!!


Goodonya

 

... and very, very proud of it .

In reality, we just want to maximise our, wait for it, TAX BENEFIT .