The Property Couch TPC Gold | Capital Gains Tax: Commercial vs Residential Property
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Sep 16, 2025 This discussion dives into the intricacies of Capital Gains Tax (CGT) for commercial versus residential properties. The host shares a relatable case study, highlighting how business owners can leverage tax benefits when purchasing commercial real estate. Key differences in tax implications are examined, shedding light on accurate record-keeping and the value of professional advice. The importance of mentoring younger generations in financial literacy and prudent asset investment is also emphasized, setting the stage for smarter financial decisions.
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Keep Detailed Records For Tax Purposes
- Keep meticulous records of every expense related to commercial property improvements and fixtures.
- Use those records to maximise legal reduction of capital gains tax when you sell.
Property Couch Fit-Out Example
- Bryce describes The Property Couch office fit-out which the business paid for and depreciated.
- He contrasts that with landlord-paid building works which enter the owner's depreciation schedule and cost base.
Who Pays Determines Cost Base Treatment
- Improvements that the owner pays for generally increase the property's cost base for CGT.
- Tenant fit-outs paid by the business are treated differently for depreciation and cost base purposes.