If you are buying a company you still need to get the share transfer stamped. Believe that the Stamping office has the option of picking a higher rate if the company’s main asset is property.
If a developer has a trick it is not as simple as this.

I live in Glenhaven NSW. Several years ago a property sold at auction for over $1,000,000. Problem is the agent did not realise that the last person bidding was a friend of the owner. Brought much joy and merriment to the residents in the following months.

It worked though, cause next time it went up for auction a newbie (person who did not know…[Read more]

Mel thanks for the feedback.
Rgds Terry

Mel I think that is what JB is saying the Trust cannot distribute a loss. The Negative is formed by the Unit holder borrowing,
Actually if the debt funding come from the Unit holder, It would be very hard for a trust to make a loss, not impossible but unlikely.
This actually agrees with your interpretation if I am not wrong, just takes it a little…[Read more]

Mel I am in the middle of a Tax audit on a guy with a negative Unit trust style property investment. I advised against it but he had a big Firm advise.
The rub is they have knocked out ALL the neg dedustions but have kept in the Unit trust dist.
Efective tax rate is 100%+++, plus penalties and fines.
We are seeking adice and will let you all know…[Read more]

You could writes books on this topic…Hey I think people already have.
But simply it is a separate entity that can own or trade on behalf of the beneficiaries, the income and capital then rests with the beneficiaries at the discrestion of the trust.
You can therefore move income from a potential highly taxed individual to someone who is not.
The…[Read more]

If you live in it for a day and have no other PPOR
it would be your PPOR at that time.
But why the question. If you sell it you have to apportion your CGT over the time lived and and rented.

Thats around $5,700 per square metre, sounds like the bargain of the year to me.
I think not.

Don’t forget your tax effect !!!!

What is the interest, (not the repayments ), how old is the building, what is expected depreciation ????[?]

put up the last five yearts P & L’s the proprietors remuneration including MV, super and other benefits spouse etc incl) for the same period, details of the rent and lease, a review of council records for possible changes, detailed depn and lease of equipt schedules, and we will see what we can do.

otherwise it would be a uneducated guess.

Agree with what has been said, also not sure about security. If you need the property as security for your loan a bank, should want her on the loan docs.(they can’t sell half a house ), This could get you in arguments with the taxman as to who the interest deductions belong to,

A company can mess with your capital gains…won’t explain how here, take too long.
“xyzz ” hope you mean you have been doing it though a trust otherwise you may have some significant problems down the track.

A trust is not a separate legal entity but hold assets, earns income on others behalf….hence the word trust.
If the trust makes income who will receive the distribution, if not distributed the trust is normally taxed at high marginal rates (this is the case in Aust & we tend to be in line with NZ )

Your final problem is when you bring it home…[Read more]

What you have to do is leave your income offshore and never bring it back. OR move to NZ establish a permanent place of abode for at least 6 months distribute the profit then pay NZ tax etc
Maybe find an appropriate charity…..or otherwise LIE, and hope no one opens up your income trail when you bring it back in. Problem here is the more…[Read more]

A good generalist should be your first point of call. You don’t sound like its rocket science.

(and Yes i am )

It would have to be very worthwhile and very transparent. You never want to answer the question in your tax return as to whether you have a interest in a offshare trust with a YES unless you don’t mind a lot of attention you don’t really deserve.

Why not buy it with a Australian trust. Should not be an issue.

A had a client once who was in the small loan business, back in the 80’s used to charge up to 66% on small loans. ie borrow $20 repay $24, 20% interest (except it was repayable at the end of the month.) Lived of a small group of trapped uninformed, uneducated, unfortunates…..they were always invited to the Christmas party though…see..he was…[Read more]

I agree with PT Bear on all but the drop. In Sydney we have seen the market come off 10% in some ares since before the rate rise in November. Since mid November the market has slowed a lot.
I’m looking for an adjustment similar to the UK, Boston, Calif, and Houston in 1991.

An intersting thing to watch, is the price of oil per barrel. It is…[Read more]

Only desparate people pay 11-17%. How desparate are you for a good return.

Ever hear of Estate Matgages….or Custom credit..?????
Did’nt think so

On remote investing (where you don’t live in the area ) you really need a GOOD agent. As an accountant we have clients in property (not a lot as we are a SME type practice ) and have heard too many bad tennant stories. Not a lot as a percentage, but when they are bad, they are REAL bad. In each case it also involves a slack agent.

Had a tennent…[Read more]