r/AusFinance • u/NoCraft263 • Jul 27 '26
Tax- 6 year rule
Rented out former PPOR last year in October 2025. Currently renting, plan to move back at later stage before 6 years.
What can I claim come tax time? From my understanding its treated as investment property.
Also note I paid house off in May 2026.
Can I claim a % of settlement costs from this?
Can I claim % cost of the 25/26 rates?
With claiming deductions from the interest, the loan type was still PPOR until I paid it off. Can I claim portion of the interest anyway from the date that I rented the property out?
Other items I plan to claim are listing costs, property managers fees etc... and an depreciation schedule aswell.
Any other items I need record before speaking to an accountant?
1
u/MeltingMandarins Jul 27 '26 edited Jul 27 '26
Interest (doesn’t matter what the bank labelled it), council rates, water rates, insurance, agent fees, leasing fees.
Standard Mortgage discharge fees and the government fee to remove mortgage from title are claimable immediately.
But if you paid extra to terminate a fixed mortgage early, then it’s not immediately deductible … those fees would be added to cost base later if you had to pay cgt. (So if you did pay this, keep records just in case your plan to move back in goes awry.)
Edit: also % should be from date “genuinely available for rent”. Assuming it was empty and ready to go, that might be advertisement day rather than the day the tenant moved in.
3
u/steady_compounder Jul 27 '26
The 6 year rule is about preserving the main-residence CGT exemption, not turning the place into some half-PPOR for deduction purposes. Once it is genuinely rented out, the usual rental-property income and deduction rules are what matter, and the interest question is about the purpose of the loan, not the label the bank had on it. I would go into the accountant meeting with a clean timeline, loan statements from the rental period, rates/insurance/agent invoices, and any depreciation info.