I'm 55 my preservation age is 59. I have an personal super plan maturing soon. If I let it mature and don't spend the money, will I be taxed on this money. Or should I reinvest before maturity?
Also, I have an investment property I wish to sell. Can I avoid CGT if i live in this property? If so, for how long?

Hi Ian,

Can you clarify what you mean by you have a personal super plan maturing soon?

If you get access to super under the age of 60, regardless of if you spend it or not you will likely have to pay some tax. How much will depend on a number of factors but likely you'll have to pay some. Given that, best to not access until age 60 if at all possible.

No, you can't avoid paying CGT on the sale of the investment property. If the property has been an investment and not your principal residence, you will need to pay CGT for the period it was an investment - regardless if you decide to live in it now. There are ways of limiting the tax you pay (talk to your accountant & financial adviser if you have one) so paying for some advice here can be very worthwhile for you.

Let me know if I can be of further assistance.

All the best.

James
03 9909 5800
james.wrigley@firstfinancial.com.au

Hi Ian,

Im not sure what you mean when you say your super plan is "maturing". You probably have some sort of investment held in a superannuation environment where the investment itself is going to "mature"......and on the balance of probabilities I would say that this will not give rise to a tax liability in your hands....as long as the investment (whatever it it) remains IN super......but that being said you havent given us enough detail to know what we are dealing with....so your best bet is find an advisor who can go through it with you and advise on what your options are:)

Short answer on the investment property is no.

if it is an investment property, then moving into it wont stop it from being an investment property......it will probably NEVER be exempt from capital gains tax. Sorry mate.

But there are LOTS of rules about property where it was once your principal place of residence, and if you ever lived in it then MAYBE you can get a partial exemption from CGT.....best to get in front of a CA or CPA with all the details and work through it.....then also work through the options you have available to you to minimise the tax burden: eg deductible super contributions can potentially save you big $$$$

good luck
bc

Speak to your accountant for advice