Published on 07 May 05
by SOUTH AUSTRALIAN DIVISION, THE TAX INSTITUTE
Many clients are trying to cash in on the current property boom. Clients are knocking down their house and building two properties, subdividing farm land for residential purposes and acting as property developers. This paper looks at the following topics in the context of a small/medium property development:
- is the profit a capital gain or revenue gain?
- timing of interest deductibility
- when is property trading stock?
- accessing the CGT main residence exemption.
Patrick is a Taxation and Business Consultant and a Visiting Fellow at Macquarie University. He was previously Associate Professor in the School of Law at the University of Western Sydney. Before moving to UWS Patrick was with UNSW where he was one of the two people who conceived and created the Australian Taxation Studies program. At ATAX and since, Patrick has been active as a consultant on a number of practical taxation and governance projects involving industry and/or government both in Australia and overseas - in particular, China. He also possesses undergraduate degrees in accounting and law and Masters degrees in Law and Commerce. He is a Fellow of the Tax Institute and an active member of the NSW Education Committee.
Current at 26 June 2006