Capital Gains Tax

Capital Gains Tax is the tax that is payable only upon the sale of an investment property.

This tax varies according to what entity owns the property, when it was purchased, what their marginal tax rates is and what claims may have been made against the investment over the life of the ownership.

Make sure you seek advice from an accountant who specialises in property investment to legally minimise the Capital Gains Tax you pay.

It must be remembered that if you are claiming depreciation the cost base of your investment will be reduced and the capital gains tax upon sale will increase accordingly.