Tax Changes for Non-Resident Aussies

Under current draft legislation Australians who are considered to be non-resident for purposes face important choices in regards to existing property held in Australia.  Under the new legislation any property purchased after 19th September 1985 changes to CGT ( capital gains tax) removing the main residence 50% CGT discount if you sell the house before returning to Australia.   At this stage it appears that if you return and live in the house for 3 years then the main residence discount will apply.

Simply working overseas does not in itself make you non-resident.  You need to be away for two years and establish a home overseas.

It is as yet unclear how things will pan out but important that you get some good tax advice before making any decisions.

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