DragonRushBob
New Member
Afternoon, everyone.
Quick question—especially for accountants, or anyone who's sold a house with a granny flat attached.
We'r e selling now, in SEQ. There's a granny flat on the property, and we rent it out. We bought the place two years ago and have always lived in the main house ourselves. We did a big reno on the house, and now we're selling.
At tax time, our accountant has been allocating 30% of bills to the granny flat—based on the split of occupants. We followed his advice on that. Now he's saying we'll have to pay capital gains tax on 30% of the profit, even though we live in the house. Is that right?
Our agent has made it clear: the granny flat adds very little value, because of its condition. The increase in value has come from the reno—that's what our agent says.
Quick question—especially for accountants, or anyone who's sold a house with a granny flat attached.
We'r e selling now, in SEQ. There's a granny flat on the property, and we rent it out. We bought the place two years ago and have always lived in the main house ourselves. We did a big reno on the house, and now we're selling.
At tax time, our accountant has been allocating 30% of bills to the granny flat—based on the split of occupants. We followed his advice on that. Now he's saying we'll have to pay capital gains tax on 30% of the profit, even though we live in the house. Is that right?
Our agent has made it clear: the granny flat adds very little value, because of its condition. The increase in value has come from the reno—that's what our agent says.
