confirmation on CGT

pretty much so, you are only able acknowledge one ppor at any point in time.

FHOG requires that you actually live in the property sometime in the 1st 12 months.

There have been several prosecutions for falsification of claims.

For your PPOR to be possibly exempt from CGT you must also have moved into it as soon as practical. Eg. You can’t have left a tenant in there until the lease expired, and you can’t just let it sit there until you decide to move in (unless say you are renovating it to move into).

With regards to the question about the 6 year rule for exempting you PPOR from CGT, you can move into another one of your rental properties, you just don’t say that it is your PPOR. Either way you never have to declare which one is your PPOR until you sell one of them. The rental property that you moved into may grow significantly in capital compared to your original PPOR. In which case it may be worth you while declaring the rental as you PPOR from when you moved into it, to reduce the CGT when you sell.

Just remember to keep all records for expenses on both properties, just in case you later change the status of which one is your PPOR, because the unclaimed expenses can be used to adjust the cost base for CGT purposes.

As for the FHOG, if you say buy a property and move into it after 6 months to satisfy the rules of the FHOG, you will be entitled to the FHOG. However, because you didn’t move into it straight away, it will never be totally exempt from CGT (unless you die while living there).

look at up the tax act. s118.145 ITAA 1997.