If I were a betting man I would say that the majority of Steve’s income these days is dervived from selling information (seminars & mentoring) rather than property investing.

Dazzling – “Due to the amount of money involved, we have decided to challenge the validity of the Land Tax bill received from the SRO….arguing that the legal ownership of each property is different given the differing percentages, and hence should not be aggregated together. The Act certainly does not preclude this possibility.”

Any updates on how you are going with this ?

Not looking at buying in the near future unless a bargain coimes along.

Hi Derek,

Could it be at the top to purposely bring attention to the program ?

Cheers,

Benson

Dazzling,

Changing the percentages wont help unless you introduce another owner onto the title (in WA not sure about other states).

ie dazzling 50% mrs dazzling 50% will be aggregated on the same land tax client ID as dazzling 99% mrs dazzling 1%.

A couple could have 3 separate ownerships to limit the aggregation.

ie dazzling – owning land only
mrs dazzling owning land only
mr and mrs dazzling owning land together

This would have the effect of minimising land tax rather having all the land under one name or in joint names.

The problem with moving land around of course is that you will trigger a stamp duty liability which cant be avoided, so you have to do the sums. If it is an expesive property this can be a very costly exercise.

cheers.

Couldnt see any in the West. Where abouts Redwing ?

Cheers,

Benson

The contract date rather than settlement date is the important one for CGT calculations.

Cheers,

Benson.

Not a grey area. The State Rev Dept will chase him for the money (plus penalties possibly). My understanding is the FHOG is contingent upon you living in the property within 12 months to qualify for the grant.

I think what your friends at work are saying could have some substance. If the ATO believed you were in the business of renovating and selling for a profit then all your profit could be treated as income and the 50% exemption would not apply. A lot would depend on how many/frequently you were turning properties over.

Cheers,

Benson.

Hey Monopoly,

Have you quietly snuck back into the forum ?

Couldnt stay away hey ?

Welcome back.[biggrin]

Benson.