PropRetire

Negative gearing calculator for 2027-28

From 1 July 2027, a loss on a residential rental bought from 7:30 pm Canberra time on 12 May 2026 can only lower rental income. See what that does to your tax in 2027-⁠28, and every step of the working.

The rental

The rent coming in from the house and the costs going out

The rent for a whole year.

Loan interest, rates, insurance, repairs and agent fees.

The contract

A calendar leaf for the day the contract was signed
Special rule No special rule
Special rental-loss rule A few kinds of rental keep the old treatment. Choose one only when your records confirm it.

A few kinds of rental keep the old treatment. Choose one only when your records confirm it.

You

A payslip for your other income

Your taxable income apart from the rental, before tax. Enter 0 if none.

Can a rental loss still lower my other income?

It depends on the contract date. From 2027-28, a loss on a rental you bought under a contract signed from 7:30 pm Canberra time on 12 May 2026 no longer lowers wages or other unrelated income. It is held apart, can be used against eligible residential capital gains, and any rest is carried forward against later rent. A rental bought before that time keeps the old treatment.

A rental loss in 2027-28, by contract date
Contract signedThe loss
Before 7:30 pm on 12 May 2026Lowers your other income
From 7:30 pm on 12 May 2026Carried forward, unless the property is a new dwelling or another exception applies

The contract date counts, not settlement. Being new to its owner does not make a dwelling new under the law. The calculator takes the date and any special rule you choose.

Updated

Where the rules come from