Tax on defacto relationships post property purchase

Was wondering if this scenario is possible? If there is a likelihood I'll go visit my accountant for more specific advice Here is the timeline.

• Bought a property as a single person a decade ago
• Started a defacto relationship
• A few years ago we demolished old house, subdivided, sold off one lot and built a new house on second lot
• Rented house out immediately after build
• Now looking to sell the near new house

The question is, are we allowed to split the profit between the both of us (me and defacto partner) to minimise the tax payable? Not sure if relevant but after building the house we had our first bub together so yes definitely a proper defacto relationship.

 

Yes if you are joint owners. No if your not.

 

You will need to discuss with your accountant the fact that both properties will be subject to tax.

This is based on the assumption you subdivided, sold one without moving in and rented out the other after construction was complete.

Will also need to deal with the gst on sale as new residential premises

 

If the old home was a rental property before you demolished it you can claim the building allowance entitlement on it when the house was destroyed. You might be able to go back and amend the tax return for that event.

 

Was a depreciation schedule performed on the property before demolishing? A scrapping report could've been carried out also.

 

As per

Who owns the property, you as a single person or did you sell, transfer or otherwise gift the property to your partner?

 

Yes the question should have come up previously several years ago when the first event occurred. The earlier event will at the very least have triggered a issue that affects the costbase and impact profit calcs now