Hi

I've an investment property which I intend to try and sell. I understand the selling costs are deductable from the capital gain I will make.

HOWEVER

What about if I have it on the market for 2 months I don't manage to sell it but spend $3,000 trying. I then re rent it and wait for a better opportunity.

The costs I incured trying to sell can I use them to reduce my CGT when I eventually sell it.
OR do I have to claim them against my rental income in the year I tried to sell it.

The property is in NZ but I'm only intrested in my Oz tax liability.

I believe you would have to complete the NZ tax return first following the applicable rules for NZ then you bring in the "foreign income" as a lump on your Australian tax return. You would also be eligible for a foreign income tax credit for any tax you paid on that income in NZ.



Cheers,
Marilyn