Capital Gains Tax (CGT) is perhaps the most loathed property tax for investors, as it can take a sizeable chunk out of the portfolio you’ve worked so hard to build up over time if you decide to release any assets.
You’ll be required to pay tax on the capital gain made at time of sale – that is tax on the difference between what you initially paid and what you received when you disposed of the asset.
CGT was introduced on 20 September 1985 and all assets acquired since that date are subject to the tax, with most personal assets like your own home and car being exempt.
Rates for CGT will vary depending on the type of entity that owns the property. Moreover, this tax can be minimised significantly with the use of some clever strategies, during the income-producing phase of your investment portfolio.
Property Investment For Smart People
Smart Property uses market and property data to help time-poor investors acquire outperforming property assets, so you can grow your wealth and freedom and still have time to live your life.
