Whats the best way to structure your portfolio to avoid paying so much land tax in queensland? …
Buy in other states – although this may not be feasible if you already have all your properties in Qld
hold properties in individual names not companies or trusts and spread your properties throughout the country
Very good point SNM.
If avoiding Land Tax is your criteria for investing i think you are selling yourself short.
The entity should be based around the property itself and the aim of the exercise rather than merely isolating a deductible cost and revamping your strategy accordingly.
Richard Taylor | Australia's leading private lender
Hi, if you think land tax in Queensland is bad, come to SA or go to Victoria or NSW
KY
jazamite what do you mean by hold properties in individual names?
Iam not to keen on spreading my portfolio around australia ile stick with qld and a little in nsw
by using these 2 states do i pay less land tax than if i had everything in qld?If avoiding Land Tax is your criteria for investing i think you are selling yourself short.
iam trying to find away that will still work with the way i buy property, iam trying to work out how i could get my accountant to structure something for me that will save me some land tax without doing stupid things just to save on land tax and cost me else where
Hi, different states levy different rates of land tax, NT is the one with no land tax. Queensland land tax is among the lowest. Tasmania has a very low threshold i.e. you pay tax on a very cheap block.
One year I paid close to 7 thousand in land tax. As the tax is progressive, the more property you own, the higher the rate.
You can 'avoid' the threshold by owning properties in trusts but you will have problems with borrowing. And the audit and accounting fees make it not very worthwhile.
I reduced my land tax liability by transferring a commercial property into smsf but that comes with its own accounting headache. It's worthwhile only if the tax reductions are attractive enough.
Hope this info is of help to you,
KYI think in QLD Land tax is assessed per structure still (but this could change). So search the OSR site and see what you can find out.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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