Forum Replies Created
Ok, thanks Terry. I will email you directly to set up a consultation.
You don’t seem convinced that the trust structure is the best way to go – I am curious now to see what other options might be available.
Cheers,
CelinaI think you might need additional or further advice.
Although you could do what you are proposing consider the arguments a trustee in bankruptcy could use against you. Research resulting trusts.
[/quote]Hmm, I think I see the problem – we have paid the deposit – not the trust (it does’t yet exist) so even if we change the name on the contract/title we still have resulting trust issues.. hmmm tricky.
We still have a subject to finance clause that expires on 15th August 2017. Perhaps we could use that to get out of this contract? The vendor is a property developer, perhaps if we pay for their conveyancing they would be open to us creating a new contract of sale for the same block but with the structure set up properly?
Just goes to show even when you pay for legal advice and you think you are familiar with trusts and tax (I’m an accountant) you can still get things wrong! Glad I posted and am aware of these issues now.
Are you interested in taking on a new client? Happy to pay for the correct advice to achieve a better outcome!
Celina
Hi Terry,
Thanks for your response. Good to hear that it might not be as difficult as I am hearing to borrow through a corporate trustee/trust structure.
I have gotten and paid for legal advice regarding this situation, but now am a bit concerned I haven’t gotten the best legal advice. How could we get asset protection and the main residence CGT exemption? We don’t want to put the property in just my name (it has been suggested and debated) as I also plan to start my own business in the next few years, and don’t want our properties to be exposed to any potential creditors – hence the reason for the trust and a corporate trustee. We also want the advantage of income streaming later on for the rental income, as I will likely be at home with kids in about 5 years time.
With regards to the deposit already being paid, our current lawyer has advised us that we can still change the nominee on the contract of sale as we have not settled yet (the land is still not titled) and the vendor has no objection to us making this change. Is this incorrect? We unfortunately realized our asset protection issues after we signed the contract of sale in our individual names and our trust isn’t set up yet, but we have been told that this can still be changed?
Regards,
Celina
