Forum Replies Created
Matt,
Your right it is interesting when you speak to the right people.
Have now found out, this is an excellent opportunity, which might need an extra bit of work, but really, I want to get away from the negative gearing persona and create a good portfolio, using my family, this seems definitely the way to go.
Distribution of income, by differing trustee’s buying back income units from other trustee’s. Security of investments.
Monies can be paid into the trust as Gifts or Loans.Now going to read the book. Hopefully wont confuse me. I do insist at the time of drawing up a plan, a dedicated accountant/adviser for trusts is the way to go, even if it costs a bit.
Terry,
Sounds like the right sort of approach. I think I will even buy the second place and rent it out via the trust before moving in. Soas not to rasie any alarm bells.
Mel, I am receiving Trust Magic next week in the mail and in regards to HDT, I am of the impression that it is a discretionary type trust. So loss or gain can be directed towards the trust. Thus any monies being put into the trust from the directors can be classed as taxable income to trust and a loss to the director that is supplying the income.
I could be very wrong, as I have only been reading forum information, could you verify?
Thanks Jeff
Yeh Matt,
Cheers for that… Your right about the confusion.
Stamp Duty Savings are 100% in NSW for property 500K or less.
Just can’t beleive moving over to a investment vehicle would incur a double stamp duty.
Is it because you are transfering. If the property was bought by the vehicle straight from the shelf, would it be different?Trying to way up the advantages. I mean allowing you to use high income earner within the trust for times when the investments are negative and low income earner when positive can result in huge savings over 15 years or so, depending on salaries. These hopefully definitely out way CGT and I HAD hoped stamp duty.
Hi Terry,
I get what you saying and need to clarify on.
Stampduty costs of Transfer is substantial, but Tax benefits, from interest, furnishings, will mean that I and my partner can be one step ahead.
As I know it and please tell my if I am wrong, as the property becomes +ve geared, the tax profit will be geared to my partner who is on a lower wage.
I guess the idea is IP, and not to ever sell….
Please comment [suave2]
