Australian CGT Changes
Australian CGT Changes
Copied from the Qrewroom.
I found this in Michael Matusik's newsletter (property guy in Qld)
Just take a look at what Wayne Swan has buried deep in the 2012 Australian federal budget:
The Government will remove the 50% capital gains tax (CGT) discount for non-residents on capital gains accrued after 7.30 pm (AEST) on 8 May 2012. The CGT discount will remain available for capital gains accrued prior to this time where non-residents choose to obtain a market valuation of assets as at 8 May 2012.”
This statement will have great impact on the amount of property bought (and held) by Australian expatriates and other tax non-residents.
The 50% CGTdiscount has previously been available where individuals have held assets for longer than 12 months. The government now intends to withdraw this discount for non-residents, and honour the discount in relation to any existing accrued capital gains ONLY if the non-resident obtains a market valuation for the asset as at May 8, 2012.
We join those few yet to pick up on this change to inform any expatriates and offshore investors with investment properties here in Australia that they need to obtain a market valuation as soon as possible. Failure to do so could be extremely expensive.
And thanks for the heads up Wayne – we got heaps of notice on this one. Many expatriates and offshore investors may (will, more likely) not hear about this change until too late.