Question: Where to put capital allowance recoupments?
Answer:
Activate "Capital Gains" via manage section
Once activated, complete the "Worksheet", learn more from this guide
Notes:
- If need to report the increasing balancing adjustment as taxable income.
- If Capital gains are associated with capital works
- For reducing the costbase, user can do so with a negative value. Alternately, don't use the worksheet, just key your own calculated values directly into the capital gains schedule. Use your own summary values.
In working out a capital gain or capital loss from a rental property, the cost base and reduced cost base of the property may need to be reduced to the extent that it includes construction expenditure for which you have claimed or can claim a capital works deduction.