Dear TerryThat stuff from the ATO has been listed since 2001 in Agressive Tax Planning, its ATO propaganda, remember the ATO do not make the law the courts do. The ATO often loses just as they did with Janmore Nominees, that case still stands. So does ID 2002/388 AND I have written confirmation from ATO in addition to the ID 2002/388.You just need…[Read more]

Hi Sallyann,There are some issues with this, as follows:1.P1 will NOT be entitled to deductions if P1 also lives in the property because the tax act says about these expenses:"any expense neccessarily incurred in the production of assessable income, unless its of a private, capital or domestic nature."So you see you cant deduct  any of the costs…[Read more]

Dear Chaser,What a Great Idea !, go and see the ATO site and look for a tax case called "Janmore Nominees". its about a guy who did this successfully in 1987, however he also had a business in the same trust, he was a medical practitioner. This allowed him to gear inside the trust and lease back the home to live in. he also had a business lease…[Read more]