Calculate Larry’s net capital gain or loss (assuming he has no other CGT events). On 1 June 2015 Larry’s uncle Ben died and he left Larry a small house in Geelong (Geelong House). Ben had purchased the house on 20 September 1987 for $30,000 and incurred $2,000 in legal fees when he bought the house. He also incurred $10,000 when he renovated the bathroom of the house. Ben used the Geelong House as his main residence since the date of purchase. The Geelong House had a market value of $300,000 at the date of Ben’s death. Larry has rented out the Geelong House since Ben’s death. On 15 July 2016 Larry entered into contracts of sale for the Geelong House. He sold the Geelong house to his daughter for $400,000.

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