Hello everyone,
I am a new member and a very new investor. I would like to know tax wise, if I buy an IP in NZ, would I be better off placing a 50k property in my name only as I only have a part-time job earning 10k and placing any IP that we buy over here in my husbands name only as he makes over 70K.
Thank you for any feed-back.Ang
Generally, I’d recommend putting any properties you buy into a trust, as this maximises your control over the investment without any risks if you or your partner are sued.
Also, with a trust you can all but eliminate paying taxes on any profits made by claiming many otherwise unclaimable expenses. Then, the profits can be distributed to whoever makes the least private income (in this case, you) which is then taxed at a lower rate.
Check out http://www.gatherumgoss.com, he’s an accountant in Melbourne and is considered by many – including me – as the expert on discretionairy (sp?) trusts.
Good luck to you!
J.Hi Andrea
As a NZer I put my name/nominee on the Sale and Purchase Agreement. Later I can make up my mind as to how I want to structure the ownership of the property.
When I first started out my wife and I set up a family trust which owns the properties and then an LAQC for tax purposes.
To find out what an LAQC is search through the NZ Suburbs postings or use the Search function at the top of this page and type in LAQC.
Have fun
Go the All Blacks
Regards
Thanks guys for all the info. Will check out all the sights you have given me. All the best to u all
The topic ‘NZ IP. Put in one name or two’ is closed to new replies.
