What are the tax and claim implications of the following scenarios. I.E. at what rate will the money be taxed and is it claimable?
1. Re-invest into business. Can this come out of pre-tax dollars?
2. Invest in something other than the business. eg, property. Again can this come out of pre-tax dollars and is it claimable?
Also, How can I use business profits to invest, without actually accumulating assets under the trading business name?
I guess what I am getting at is this. I want to keep my personal income to a minimum as it pays the most tax. I am trying to maximise my pre-tax spending, and also any spending/investing taxed at only the companies 30%.
thanks everyone. Any advise appreciate.[
]Dan
Dan, I’m pretty sure that the answer to both your questions is No, that investing either in business or other things comes out of after tax dollars.
Do you have a good accountant? Maybe you need to find one who is creative, and who can help you legally ‘spend’ your pre tax dollars on things that you otherwise would buy with after tax dollars, thus reducing the profit, and increasing the benefit to you?
Cheers
MelThanks heaps for your reply![^]
I guess I need to keep thinking, I will let you know if we come up with anything.[
]Dan
hi dan
i have a few tapes of robert kiyosaki.
he says that the reason why most of us struggle is bcause we buy everything with after tax dollars.
he buys property with his company b4 tax.
with his properties he buys his ferraris.
sounds easy ha..
in your case u may have the same options.im employed and are rattling my brains on how to jump on the other side.(a b4 tax spender/buyer.)
he lives in america so laws may differ in many cases
but get some specialized advice in the that area.
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