In answer to KennyC…”how long is a piece of string”. Accountants generally charge out their time in anything from 6-15 minute intervals at anything from $90/hour upwards.

The better your records the less it should cost you, provided of course that it all makes sense to your accountant. Often what is perfectly logical to you, makes absolutely…[Read more]

I have clients who have the following structure

A company which acts as the corporate trustee for both a discretionary trust and a unit trust. The discretionary trust is the holder of the units in the unit trust. For every new property they purchase they set up a new unit trust. Obviously they “re-use” unit trusts when they sell off a…[Read more]

There are quite a few different types of trust:-
1. Discretionary Trust
2. Unit Trust
3. Testamentary Trust
4. Bloodline Trust, and
5. Hybrid Trust.

The difference between a discretionary trust and a unit trust is that the trustee of a discretionary trust has the “discretion” to distribute profits to beneficiaries in any ratio he/she/it sees…[Read more]

Thanks for the suggestions. Chris Maleny is lovely but way too many tourists for the locals (that’s me I guess). We thought about putting cabins in for the tourists but access to the back of our property is a bit tricky…unless the tourist feels like hiking it and having no power when they get there.

We (I) figures that putting at least one…[Read more]

Thanks for the input. Yes we can build another dwelling on the property. When I say “Cattle” it’s a bit of a joke really, 65 acres can feed about 11 head – but like most of Aust, no rain no feed. The cattle are more like glorified lawn mowers with a twice a year kill for the freezer.

There is an acute shortage of rental properties in my area.…[Read more]

I see a few people have read this…but could someone please give me some advice. Is this a good idea or not.[?][?][?][?][?][?][?][?][?]

When I said can’t just “not settle”, I meant you can’t just decide you aren’t going to go ahead with the settlement ie you need a reason as in a clause of the contract hasn’t been met. I’m in QLD so I’m not familiar with Property Law in other states. I am aware that contracts often go past the stated settlement date on the contract, however this…[Read more]

You can’t just “not settle”, especially if the contract is unconditional. Getting him to drop the price on the deal by the difference in the rent is not a bad idea, however, you’d probably be stuck drawing up a new contract as this will effect the stamp duty etc.

Whats that old “legal” phrase they teach in every legal studies course – Offer,…[Read more]

Talk to your solicitor. I would be looking to enforce vacant possession on settlement, but I think you need some legal advice. If you had a clause in the purchase contract regarding the rent stipulating an amount then you would have no problems….other than getting the money out of the man…but you would have had the option to sue him for…[Read more]

What does your contract to purchase say. You should have a clause in it stipulating the rent to be paid and the fact that the vendor would be renting the property for a 12 month period after settlement.

Go back and look at your contract. If you have no clauses in there to effect the rental to the vendor, the vacant possession on settlement. He…[Read more]

[:X]How sad is society that a 94 year old lady with one remaining relative is stuck in this situation. I feel for the guy/girl who own the unit. Pity the relative isn’t thinking long term, as in one day I may be this old and would I want my only remaining relative to be shutting the door in my face.

The suggestions put forward of you moving in…[Read more]

[:X]PPOR are exempt from CGT. You can have your PPOR on up to 2 hectares of land and the whole lot is CGT free. If your PPR is on 2 hectares or more then the house and 2 hectares is CGT free and the rest of the land will trigger CGT. If you have a PPR and move out of it and rent it you have a 6 year window in which to still get the house CGT…[Read more]

[:X]My understanding is that the CGT 50% discount applies on assets held for 12 months or longer. You’ll need to confirm with the ATO what the cost base date will be, ie will it be the date you bought the original old home/land. There is a CGT legal advice line at the ATO which I believe is available for tax agents…perhaps you can wrangle some…[Read more]