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Expanding tax incentives for investments in affordable housing

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Expanding tax incentives for investments in affordable housing

On 9 May 2017 the Government announced that from 1 January 2018, it will provide an additional ten percentage point capital gains tax (CGT) discount for resident individuals who invest in qualifying affordable housing.

This will increase the CGT discount to 60%.

To qualify for the 60% discount, housing must be provided to low to moderate income tenants, and rent charged at a discount below the private market rental rate.

The affordable housing must be managed through a registered community housing provider and the investment held for a minimum of three years.

 

Legislation and supporting material

Legislation is being developed for this measure.

More information

    This article was sourced from the ATO website on 11 January 2017 and can fount here. For additional information or to discuss this further feel free to contact us.