Get 3 Yrs of CCI Pro Membership at Greater Value. Subscribe Now!

Adjusting Proceeds of Sale of second House against Loss on Sale of Shares

310 views

Save Share

Join Us Follow Us Add as Source

skin zzz

37 Points Posted on 27 March 2022

hello

Mrs A have 2 Residential properties. both are more than 7 years old. She resides in 1st house and 2nd is rented out.

Mrs A sells second house.

since its second house, she's liable to pay LTCG.

she holds a few listed shares bought 5+ years ago, which are in negative.

she sells those share and incurs losses.

second residence sale and loss making listed shares are sold in same FY.

can the loss incurred from shares be adjusted against profit from second house ?

please advise.

thanks

Replies (2)

Quick Summary

This discussion explores whether capital losses from selling shares can be offset against the capital gains tax liability arising from the sale of a second residential property. The consensus is that long-term capital losses can indeed be adjusted against long-term capital gains, as per Section 70 of the relevant tax legislation.