Forum Replies Created
Hi Trish
Welcome to the forum. There is no ‘tax deduction’ as such for your kitchen, because Kitchens are now considered part of the building.
Buuut, there will be depreciation (at a massive 2.5%) available on the cost of it…
Cheers
MelJust4fun, if you make a profit, then yes, you will be taxed. However, is that not the point? I’d rather pay tax, cos that means I am making money, rather than get a refund because I have been losing money.
Steve didn’t cover any depreciation benefits in the book either – he views that as a bonus, and not the reason for investing. I think it would be too hard to go into the taxation issues as the tax rates seem to be changing yearly, plus each individual’s circumstances are always different…
Cheers
MelMike – don’t pay these guys to do that for you!!!
A LOC is quite similar to your offset account – but costs more, so you don’t need to change it. It works the same as putting all your money into your offset account – saving interest etc.
As for buying a new apartment that costs you each week, you could easily do that yourself too!! If you wanted to go into investment property, I would work out what it is you want to achieve, and learn lots for yourself…
You ‘should’ be able to find a property that could well break even with tax benefits, so why would you want to pay any money.
Research first….
Cheers
MelAndreaw
Check out the sticky post by Jaffasoft in the Help Needed section. It has lots of helpful links, and one to where on the site Steve has provided an explanation…
Cheers
MelCool gmh! The other question I have is..
With our privacy laws, the ATO can get any info from anywhere to make sure we’re paying the right tax – that’s fine. BUT, are they then allowed to pass that info on to a third party….? For a completely different reason to why they collected the info?
Cheers
MelThe FHOG is a Federal initiative administered by states. The ‘disqualification’ comes in if your son has ever lived in that home..
Mortgage Hunter’s website has all the links for all states…
Cheers
MelBefore I forget – I have no problems with parents being paid the $600 bonus. Without future generations this country is stuffed, so my hat is off to them.
I heard on the radio this morning that somebody (can’t remember who) is concerned that women are trying to get pregnant JUST to get the $3K bonus that will kick in next FY. If that’s true I think it’s a bit short sighted, and I’m sure all the parents will agree with me that the $3K won’t cover too many of the costs associated with kids throughout their life. I doubt it would even cover the first 6? months..
Cheers
MelChan, it wasn’t aimed at you individually, but rather at all the smokers who suffer large health problems later on – like the awful emphysema, and lung cancer etc. etc. If they’re public patients, taxpayers are funding their treatment – and yes, they will have paid tax too….
When my Uncle was on life support a few weeks ago, my Aunt was told that all the machines etc. that they had hooked up to him cost about $20K PER DAY to run!!!
Cheers
MelRadike Samo is another that was poached from another country – Fiji.
I don’t know how we expect these other countries to improve if we steal all their good players and call them ours…
Cheers
MelMaybe you could ‘buy’ the extra metre from your neighbours?
Cheers
MelHey Marisa
Do you want to start up a new post, and add/edit it as people suggest some others? I’m supposed to, but I’m lazy [biggrin]
Jaffa is then going to add the post to his helpful links page, so that hopefully we’ll have a definitive list that all newbies can go to – or anybody that doesn’t use them often…. like me. (Except for PPOR and IP)
Cheers
Mel[lmao]Block Envy[biggrin][guilty][lmao]
Cheers
MelFor starters, I have not evaded any tax….
Rob, what about people who use Steve Navra’s Cashbond strategy? That qualifies as ‘income’ from a bank’s point of view, but all you are in fact doing is ‘drawing down’ on your own equity. That’s what I’ll be doing – using my equity to fund my repayments – in effect, capitalising the payments….. There is no tax evaded in this strategy, as their is no ‘taxable income’.
Cheers
MelIn QLD you can’t go past the reno kings – I think http://www.renos.com.au
Cheers
MelHang on Rob. When signing a contract to buy – you are not liable for any CGT. This is my point. CGT is payable when you sell. So it can be to your benefit for the ‘ownership’ to start from signing a contract to buy!!
Cheers
MelBut Rob, if you listen to the Treasurer, you need to produce 3 kids for the good of the country. At the moment I’m happy for somebody else to take on my quote – Sue’s done her bit and then some, so that takes a bit of pressure off [biggrin].
I don’t think $600 is going to encourage people to rush out and have kids – it’s a one off. But I do think young single mums are given far too much money.
My cousin’s 16 year old son has a baby, and his girlfriend is expecting their second – her third (she’s 25 I think). He lives ‘with his parents’ and claims the sole parent for their joint kid, she lives with her other kid, and gets the sole parent. I think the 16 year old gets paid $600 per fortnight – so he’s not interesting in working. My aunt ripped into him because he gets more than her husband (now RIP) got on the pension, and he’d worked and paid taxes for 40 years!
Cheers
MelRob, my declaration is more than I earn. My broker did not tell me what to declare. he merely showed me the figures required by the lender to get the loan through. I made the decision to declare that I earn that much. My broker is awesome!! Simon referred me to him, and I’ve since referred some other business to him, and will again in future.
I think Stu wrote an article in API (or somebody did somewhere) that suggested that lenders were, or were thinking of moving away from the $$ figure, and merely asking clients to declare they can fund the loan without hardship. That I can do with no problems.
Cheers
MelBut Rob, why does it matter?
You have signed a contract. You are not paying any interest as you haven’t yet drawn the loan. It’s not costing a brass razoo, and you certainly don’t have to pay any tax. So what’s the issue?
Cheers
MelSue, on the Low Doc loan I just got, I declared a (little) bit more than $90K as my income…
The lender told my broker to make the loan ‘fit’ the guidelines, as they were more than happy to lend us the money……
I’m guessing I should be worried about now ????
Cheers
MelRob, I’m not sure why the problem?
For a contract I have signed to buy, I’m more than happy for the start date to be then – it means that your 12 months kicks in immediately, and there’s absolutely no problem in having to pay any money or anything to anyone……
It’s the fact that when you sign the contract to sell that I think would bring people unstuck. Especially if you sell on a long settlement. This could mean you owned for say, 2 years before settlement of your sale, but really in the eyes of the ATO you only owned for 10 months – that’s when you’re in trouble.
With my recent OTP purchases, I’m really glad that ‘ownership’ kicked in on signing of contract. That meant that the contract I signed in 02 enabled me to sell PRIOR to completion, and therefore have back to back settlements, but I effectively owned it for greater than 12 months, and had CGT halved……..[biggrin]
Cheers
Mel
