Charlie

I’ve published a book on “Things Your Accountant Never Told You About Investing in Property”.  I cover structures as part of the discussions in the book that you might find useful.

It’s free so even better

Book

An old thread but a good question. What do I do when I’ve purchased assets in my own name and then enter into a business with a risk of being sued. Asset protection has become an important issue.

Of course the first point of a call is a lawyer who can give legal advice on structuring. Worth discussing with them the benefits of moving to a…[Read more]

– consider whether you can use the six year main residence absence rule and the impact on any other property which may have been your main residence
– why won’t moving back in make a difference for CGT purposes ?
– look at third element costs to reduce the capital gain where appropriate
– did you really move into it and make it your PPOR ?

if you are an Australian tax resident you pay tax on your worldwide income whether it is remitted back to Australia or not.

In both of these instances if the intention was to buy , develop and sell then it is on revenue account. CGT wont apply. So if the property was held for 2 years wouldnt matter you wouldnt get the discount. Even a profit from an isolated transaction can be on revenue account. Refer myers case. Tread carefully

Also be aware of any potential capital gains tax implications of making a beneficiary entitled to a trust asset. Need to look at whether CGT Event E5 applies.

http://www.austlii.edu.au/au/legis/cth/consol_act/itaa1997240/s104.75.html

Mike

Suggest you download and have a look at the e-book put together by Terry and I. It can be accessed at http://www.propertytaxsolutions.com.au It doesn’t cover everything and developments are a complex area of tax, legal and accounting.

You need to consider things such as income tax, stamp duty, GST, estate planning and whether you want the…[Read more]