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Ok mate. Thanks.
Shape wrote:why dont this person just transfer the money to your bank account?Regards
MichaelThen who would have to pay the tax? If he received it then he would have to declare it as income but if I did then I might also have to.
If after I purchase it I organize an agent to manage it I can give them my bank account details and not the actual home owner. Right
I know centrelink can access easily information about people who have money in any bank account in Australia. At least for sure
those accounts which are receiving payments but also perhaps any account linked to the name of a person receiving payments
by doing a data scan. This is all only relatively recent like since about 2008. They can scan Australian bank accounts of people receving payments by doing a computer search. But if you had an international bank account you may be able to gradually transfer money into your international account and I am guessing perhaps they would be less likeley to find hits on AUSTRAC unless they were looking into a case of somebody specifically. For example, if I have 100,000 in cash I may gradually transfer that into a offshore account $5000 at a time. This way I am trying to make sure I dont ring any alarms by keeping my transfers under $10,000.
I think in the states they dont pay any tax on bank interest last time I heard. Generally over $10,000 transfers for anything ring alarm bells at the tax office, so as a general rule, keep them under that amount. I also would not go trusting any bank from overseas to begin with. You need to do your research on the bank to make sure they are not a scam or fraud. You can do this initially by doing reaseach on them and also by using them with only small amounts of money to begin with.I am thinking this is all the stuff you mean to suggest the account may enable people to get up to
Peter
Does centrelink know if you have money in your international account? People may transfer money overseas to keep getting payments or start getting payments as overseas banks may not share information with foreign governments.
Peter
Terryw wrote:If you want to own property and still get access to centrelink benefits then one way to do it would be to assist your children set up discretionary trusts well before your retirement. The children should control the trust without your influence and you should have no role or control in the trust at all. Hopefully the children may give you some money as gifts later on.Hopefully the children don't end up with family law disputes too!
Well it is possible to do so but it means my children/spouse for example could take the property! Or in my case the spouse would actually be a trusted friend. I would need to assist my spouse to set up a discredentary trust and then make him the appointer and trustee. He may give income from the property as “gifts” or I may just get him to use it to take over payments of some of my personal ongoing bills.
Are there any other means you would know of achieving this task?
How does the ato find out if you receive a insurance payout? If you receive a payout and deposit the money directly into an account of a spouse and then buy property in a trust for the spouse to become trustee and you appointer.
The bottom line is if the ato dosent know then centrelink will not know unless you tell them.
Who else may give information to the ato or centrelink? I suppose banks may give information to ato depending on which bank on transactions over a certain amount. Some banks may not….
For example big banks like comm, george, anz, west, ect may. But what about smaller banks like credit unions for example.
Ultimately in that case the trustee is the one who decides the amount of rent to be paid for living in a property is it not? The more rent you pay, the more rent assistance you may be eligible for from centerlink. also the more rent you pay, the more profit is to be made from the property and the more you may receive as sole beneficiary.
I think centrelink would probably deny you benefits if you have involvement with a trust. I know I would want to if I worked for them.
It’s a fascinating area I think.Does centerlink actively cross check with the ato if people have any involvement with trusts or only if they attract attention to themselves?
Terryw, I suppose what I meant was to buy property in a trust to begin with. Not for yourself and then give it to the trust. (Then you pay stamp duty twice). If you make yourself appointer of the trust then make a company or friend/spouse trustee. That way that person actually owns the property rather than yourself. You could even live in a property which is owned by a company or spouse and still receive your centrelink benefits with no complications. So long as you do not actually own the property.
You could even be paying rent to the trustee for a property you control as appointer and perhaps you could also be named sole beneficiary. (but that may be problematic if you are receiving other sources of income for centerlink)
