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  • Examples of CGT calculations affecting real estate

    There are a number of other examples in this publication that explain how to calculate your capital gain or capital loss on the sale of real estate:

    • calculation of capital gain (including worksheet) where a person can choose the indexation or discount method to calculate their capital gain – see example of Val.
    • calculation of capital gain on property owned for 12 months or less – see example of Marie-Anne.
    • recoupment of expenditure affecting CGT cost base calculation – see example of John.
    • deductions affecting CGT cost base calculations – see example of Zoran.

    Main residence



    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    Generally, you can ignore a capital gain or capital loss from a CGT event that happens to your ownership interest in a dwelling that is your main residence (also referred to as 'your home').

    To get full exemption from CGT:

    • the dwelling must have been your home for the whole period you owned it
    • the dwelling must not have been used to produce assessable income, and
    • any land on which the dwelling is situated must be 2 hectares or less.

    If you are not fully exempt, you may be partially exempt if:

    • the dwelling was your main residence during only part of the period you owned it
    • you used the dwelling to produce assessable income, or
    • the land on which the dwelling is situated is more than 2 hectares.

    Short absences from your home – for example, annual holidays, do not affect your exemption.

    Last modified: 04 Mar 2016QC 27527