Commonwealth Consolidated Acts Commonwealth Consolidated ActsYou can ignore a capital gain or capital loss you make from a CGT event that happens to a dwelling that is your main residence.
However, this exemption may not apply if you are a foreign resident, and may not apply in full if:
• it was your main residence during part only of your ownership period; or
• it was used for the purpose of producing assessable income.
There are special rules for dwellings passed from, or owned by a trustee of, a deceased estate.
There is a similar exemption for a CGT event that is a compulsory acquisition (or similar arrangement) happening to adjacent land but not also to the dwelling itself.
Table of sections
118 - 105 Map of this Subdivision
Basic case and concepts
118 - 110 Basic case
118 - 115 Meaning of dwelling
118 - 120 Extension to adjacent land etc.
118 - 125 Meaning of ownership period
118 - 130 Meaning of ownership interest in land or a dwelling
Rules that may extend the exemption
118 - 135 Moving into a dwelling
118 - 140 Changing main residences
118 - 145 Absences
118 - 147 Absence from dwelling replacing main residence that was compulsorily acquired, destroyed etc.
118 - 150 If you build, repair or renovate a dwelling
118 - 155 Where individual referred to in section 118 - 150 dies
118 - 160 Destruction of dwelling and sale of land
Rules that may limit the exemption
118 - 165 Separate CGT event for adjacent land or other structures
118 - 170 Spouse having different main residence
118 - 175 Dependent child having different main residence
Roll - overs under Subdivision 126 - A
118 - 178 Previous roll - over under Subdivision 126 - A
118 - 180 Acquisition of dwelling from company or trust on marriage or relationship breakdown--roll - over provision applying
Partial exemption rules
118 - 185 Partial exemption where dwelling was your main residence during part only of ownership period
118 - 190 Use of dwelling for producing assessable income
118 - 192 Special rule for first use to produce income
Dwellings acquired from deceased estates
118 - 195 Dwelling acquired from a deceased estate
118 - 197 Special rule for surviving joint tenant
118 - 200 Partial exemption for deceased estate dwellings
118 - 205 Adjustment if dwelling inherited from deceased individual
118 - 210 Trustee acquiring dwelling under will
118 - 215 What the following provisions are about
118 - 218 Exemption available to trustee--main case
118 - 220 Exemption available to trustee--after the principal beneficiary's death
118 - 222 Exemption available to other beneficiary who acquires the CGT asset after the principal beneficiary's death
118 - 225 Amount of exemption available after the principal beneficiary's death--general
118 - 227 Amount of exemption available after the principal beneficiary's death--cost base and reduced cost base
118 - 230 Application of CGT events E5 and E7 in relation to main residence exemption and special disability trusts
Compulsory acquisitions of adjacent land only
118 - 240 What the following provisions are about
118 - 245 CGT events happening only to adjacent land
118 - 250 Compulsory acquisitions of adjacent land
118 - 255 Maximum exempt area
118 - 260 Partial exemption rules
118 - 265 Extension to adjacent structures