Property · two sums
Rental loss
Why this matters. An investment property’s cash position is rent in, and loan interest and the costs you type, out. Tax can change the leftover. The page does not show what a bank will lend.
Rent in, interest and holding costs out. Then the same loss against salary, and again with the loss left inside the property.
Cash this year
−$27,150Example figures you typed
Rent $39,000 − costs $66,150
If the loss offsets salary
$12,761
Tax and levy fall by this much. Tax becomes $70,610.
If the loss stays in the property
$0
Salary tax stays $83,370. The $27,150 loss is unused this year.
The budget fact sheet of 12 May 2026 says that, from 1 July 2027, negative gearing of residential property would be limited to new builds, and that holdings before 7:30pm that night stay as they are. It does not say what happens if you live in a new build and later rent it. It does not define a knockdown rebuild. This page does not pick a path.
Budget fact sheet ↗ · ATO rental properties ↗
Next: What a house costs to hold — Land tax and the rest of the hold cost.
What doctors often miss
Interest is worked out on the loan amount and rate you type. The page does not show what a bank will lend.
Included / Not included
Included
- Interest on the loan amount and rate you type, and a taxable gain only if you type one · Example assumption, editable
Not included
- Margin calls, the fund’s actual return, and a recommendation to borrow
- Division 293 and HELP debt
- Landlord insurance, stamp duty, brokerage and inflation
Assumptions you can edit are the inputs on this page. This is a model, not a prediction, a tax assessment, or a recommendation.
A rough figure — not advice. Terms
Also
Advertisement — labelled, never inside the number.