Scott is an accountant who purchased a vacant block of land in Brisbane on 1 October 1980. On 1 September 1986, Scott built a house on the land. At the time, the land was valued at $90,000 and the cost of construction was $60,000. The property has been rentedout since construction was completed. On 1 March of the current taxyear, Scott sold the property at auction for $800,000.
Requirement:
a) Based on the information above, determine Scott's net capital gain or net capital loss for the year ended 30 June of the current tax year.
b) How would your answer to (a) differ if Scott sold the property to his daughter for $200,000?c) How would your answer to (a) differ if the owner of the property was a company instead of an individual?