If I sell IP which is previously my PPOR, do I need valuation on the day I moved out?

Hi all, just found out this usefull page from a friend.

I used to owned a PPOR for 3 years. Then situation changed and Ive rent it out as investment property. I heard that there's a legal documents that I will need to prepared now, in case I may sell it in the future. Is this legal documents is CGT? If I don't have it, I will have to pay the tax even though the property price increased during my PPOR for 3 years?

Appreciate any advice

 

Yes you need to reply upon the market value at the date it first earned income as its costbase for calculating CGT IF it applies. s118-192 ITAA97 You may need to determine what the value was back then ie agent opinion, etc. If you have no subjective basis a valuer may be needed but it is not a essential requirement. A reasonable and diligent method is required !!

100% of the gain since then MAY be taxable ..or not. There may be exemptions or even choices which apply to the subsequent CGT gain which you can use.

I would consider personal tax advice.