We are looking at putting a granny flat at the rear of our current PPOR. We have owned and lived in this property for 13 years .
We purchased it for $305K ,current value around $780K . We have been told by our accountant not to do it due to CGT implications if we sell but we really need the extra income it would provide.He has said that the CGT would be calculated from the original purchase price. We are based in South Sydney. Any advise would be appreciated.
Thanks PaulCatalystParticipant@catalystJoin Date: 2008Post Count: 1,404
I really doubt that you would have to pay CGT from the beginning. I would seek advice from a property savvy accountant if someone doesn’t steer you to the legislation here.
My thinking would be that you would get a valuation done when you build the granny flat and CGT would be calculated from there.
I’m interested in this as friends are doing the same thing.
Anyone know of any accountants in the Sydney area who might specialise in this area?Jamie MooreParticipant@jamie-mJoin Date: 2010Post Count: 5,069PHPParticipant@phpJoin Date: 2014Post Count: 111
Thanks guysPHPParticipant@phpJoin Date: 2014Post Count: 111widedragonParticipant@widedragonJoin Date: 2021Post Count: 0
Can you also get Terry Waugh’s contact details for me too?TerrywParticipant@terrywJoin Date: 2001Post Count: 16,213