• The place to find the right expertise and make better decisions
  • Find the right expertise
Todd D.
Todd D.
Corinda, QLD
1 Likes
0 Followers

I'm contemplating selling an investment property. Are the sales agent's commission and advertising costs able to be claimed on tax?

6 years ago

Responses

they will form part of the costs of selling for calculating your net proceeds on sale...which will go to reduce the capital gain on disposal.

for example:
Sale of house $550k
commision and advertising 20k
NET proceeds $530K

If the cost of the property (including stamp duty and legals) was $330k, then the gain would be as follows:

Net proceeds $530k
Cost Base $330k
Gain $200k

then you would apply whatever concessions and reductions are available at that time, eg 50% General Exemption or PPR exemption etc etc.....and what is left over gets added to all your other taxable income and you get taxed on this at your marginal rate.

hope it sells well and quickly!!! Dont forget that TIMING is very important!!! It is the CONTRACT DATE and not the SETTLEMENT DATE that the ATO is most concerned with. You may have som tax minimisation options available to you provided you plan ahead and know what your options are.....so get yourself in front of someone who understands all this so you can get the best result, and pay the least amount of tax possible.

good luck

BC

Your Answer

If you wish to include a video or audio response, you can do this by including links to Youtube, Vimeo or SoundCloud (https://www.youtube.com/watch?v=xxxxxxxxxx OR https://vimeo.com/xxxxxxxxx)

<% error.message %>