Tax implications of subdividing PPOR

Discussion in 'Development' started by Sheshop, 15th Jun, 2019.

Join Australia's most dynamic and respected property investment community
  1. Sheshop

    Sheshop Member

    Joined:
    8th Jun, 2019
    Posts:
    11
    Location:
    Brisbane
    I’m looking at subdividing my PPOR and would like to know if I get any exemptions given I’ve owned the land for more than 12 months or because the vacant land will now become a “new” property on a new title will I need to hold the vacant land for 12 months to be entitled to the exemption?? Any tips?
     
  2. Terry_w

    Terry_w Broker, Lawyer, Tax advisor, Debt Recycle advisor Business Member

    Joined:
    18th Jun, 2015
    Posts:
    22,148
    Location:
    Australia wide
    See my tax tips, many on this topic.
    Terry's Tax Tips

    If CGT applies then 12 months begins on the contract dates, generally. Subdivision is not a CGT event.