Dear Angel,   My heart aches for you, when I lost my brother (Martin) I was pregnant at the time, also my hubby and martin were best friends since childhood. Martin passed away not long after my marriage and wasn’t able to meet my two boys.   The legacy of my husband and Martin friendship still continues…. My two boys are a look alike to…[Read more]

Thanks Terry, for adding the link.I googled and studied on Cumins case, and it was interesting… That means I have to get legal advice before going ahead with the transfer.

Thanks guys for the given advice,I will need to look at the bigger picture, I Would need to sit down with a knowledgeable accountant and work with some numbers." I’ll rather pay today dollar than tomorrows".Cheers : )

Yep, the wrong advice has dug a massive hole in my pocket! To make it worse he is a distant family member too.Terry, you probably aware that I have recently set up a DT  to purchase another IP.Ideally, to minimise risk I should create another DT for the transfer. Will there be any risk if I was to have the same trustee? "Asset protection is we…[Read more]

Thanks Mike & Terry for the replies,Interesting.. Terry you have mention that asset protection will be weakened by transferring an existing asset to a related trust. Does that also include by having a corporate trustee?Mike, My accountant is stupid! I confronted him in regards to our plans and goals before the purchase. It seems that he wasn’t t…[Read more]

Hi George,I find it interesting though,there are 2 types of people. The ones that are still spending don’t care or are unaware of the economy. Where as the others are afraid of where the future will be heading and is cautious on their spendings.We own a mixed business, liquor and grocery. Our grocery has dropped in sales. But, our liquor d…[Read more]

Thank you to all! This forum has been very helpful   I am going to see my accountant this afternoon to get his opinion before I sign any RE deals.Cheers

Hi Terry,Thank you, for making it clearer to me.If it’s best to write loan contract, would a solicitor need to be involved?Also regarding to my first post, which bank account needs to draw out the cheque? I would like to make an offer on a property, hopefully I can get a better understanding investing through a DT.Kind regards

v8ghia wrote:
HI,If you are paying a deposit to purchase the property, and seeking finance then for the balance, you MUST pay the deposit via the trust or you will be in breach of SMSF legislation, which could have serious repercussions for you. You cannot 'reimburse' a third party from the SMSF for the deposit. Of course, you could make a…[Read more]

Terryw wrote:
I am an answerer!

  LOL

Thank you for the above advice.I have gone to see a solicitor last week to seek advice.You are correct Terry; changing appointors would not resettle the trust. I had a debate with the solicitor that I believe a minor could be name as an appointor in a Will. I am assuming as long as the minor appointor has a guardian. Am I correct on this? Can…[Read more]

Shape wrote:
If the directors solo income is from this "company" then its Self employed. Regards Michael

Hi Michael,If that is the case, hopefully changing the ownership structure of the business does not affect me. I have been self employed in the same business for more than 8 yrs I wouldn’t want to wait for at least two years to qualify f…[Read more]

Hi Terry,My accountant has got back to me on the above question and you are spot on!The "Appointer" they believe can't be sued by an external party, so the role should be safe.regarding to the RE contracts, you are right, the directors of the trustee company signs the contracts.So if that's the case what's the cons and pros of having 2…[Read more]

Terryw wrote:
There is a very expensive book out there called something like "Drafting wills and trusts" which is a good read. It outlines the anatomy of a deed and explains each clause in a deed and what it is for etc. Costs about $350 but I think there is a CD included too which contains draft deeds and different clauses. This book is…[Read more]

Kuradji wrote:
Hi I used the Sydney mob. (Pymble) Paid the $500-ish for the financial assessment. It took 2 hours and the guy was very personable, but I got nothing out of it. Also you have to fill out forms so they know everything about you before you go, but of course in my case the guy I was supposed to see was replaced at the last moment…[Read more]

 Hi Terry,We have had the business for over 8 yrs – the first 5 yrs we did split the income evenly until my hubby went back to work full-time.My accountant suggests to distribute only a percentage of the business income to my husband to minimise tax. And he mentioned that it's possible only if the partnership is husband and wife – and if either…[Read more]

Hi Terry,Sorry for my ignorance, with a unit trust do you have to distribute income exactly according to the units you hold in the unit trust?If so, then I am better off setting up a DT with a corporate trustees because of its flexibility in distributing income.And if I were to establish a DT with corporate trustees, how difficult is it to obtain…[Read more]

Toob wrote:
Hi st81hp79I am in exactly the same position and have an appointment with C&N in 2 weeks.  Please let us know the outcome of you meeting as too what they suggest is best.  I am nervous about the PIT due to alot of information suggesting how difficult finace can be to obtain.  Also unsure how the ATO views this st…[Read more]

Terryw wrote:
If you want to set up a "PIT", you need to ask some serious questions, especially about the "never ending" bit. It is true that SA is the only state with no legislation against the laws of perpetuities, but there are well established common laws against perpetuities – would these apply if there is no legislation? Are they relying…[Read more]

Scott No Mates wrote:
Transferring your last IP may not trigger cgt but you will be liable for stamp duty. You will need to have your trust set up prior to signing your contract of sale.

Hi Scott,My apologies, sorry I meant stamp duty. Let's say if I was to sell my last IP property to the trust can I sell at any price? or does it have to be…[Read more]