I have lived in my Noosa home, now worth $1.2 million, since 2019 but claimed 9 per cent of the floor space as a clinic, so I expect a Capital Gains Tax liability if I sell it. The home is not suitable for my dogs, so I want to sell or rent it. I have just purchased a new home that will eventually make a good investment and, after living in it for one year, I hope to buy a third property as a long-term home, but I cannot afford to buy this right now.
The property market is red hot in Sydney and our investment property’s value has gone up significantly, which led us to a sell or not sell dilemma. I am aged 49 and my husband is 60. We have combined income of $230,000 a year but only have $325,000 in superannuation. We have two children, 12 and 10, heading for private schools. We also own a $2.3 million investment property with a net $1.2 million mortgage and a CGT liability of $350,000. Should we sell it? M. D.
I am aged 66 and retired, with a Hesta pension fund containing $960,000 and an accumulation account with $555,000. I draw from the pension fund the minimum 5 per cent a year, or $48,000, and top it up, so I can make non-concessional contributions of between $80,000 and $100,000 a year. I had planned to combine the two accounts at age 65 to form a larger untaxed pension but, with recent changes to super, I can continue to make NCCs to age 74.
Furthermore, once your Total Super Balance reaches $1.7 million at June 30, you cannot make any more NCCs the following tax year.
Thank you Biden you senile old prick!