If I rent my unit out will I be able to claim a loss against my
income?
Q.
I have just bought a unit with the first home buyers grant. In a
year or so I'm hoping to return to full time study with part time
work. During this period I will move back in with my parents. If I
rent my unit out will I be able to claim a loss against my income?
I've heard that if it's tenanted for less than six years I wouldn't
have to pay capital gains tax, as long as I don't claim anywhere
else as my primary residence. Would my parent's house classify as a
primary residence?
A.
Your assumptions are correct. You will be able to claim all
outgoings including interest as a tax deduction and you won't lose
your CGt exemption as long as you don't own any other property that
is your residence in that time.
Each week financial advisor Noel Whittaker answers your
questions.
