If no mortgage then there should be nothing to discharge or register.

See above.
Heaps of legal implications.
Costs include legal advice, tax advice, conveyancing, mortgage discharge new loan costs and registration of mortgage, stamp duty and possibly CGT unless the main residence exemption can apply.

Not correct Benny

A valuation is only needed if an existing main residence becomes income producing.

In this case an investment property is moved into so a valuation can’t be used.
The CGT will be worked out on the portion of the time that the property was a rental.

example.
$100,000 purchase price.
Lived in it for 1 year, then moved in.
If…[Read more]

It would never be exempt if it was originally an investment property

‘roll over’ is a vague term. What do you mean by it?

1. Seek financial advice
2. Seek legal advice – why do you want to do this and do you know the consequences?
3. why?
4. seek legal advice and financial advice
5. seek legal advice and financial advice and ask yourself ‘why?’

Yes
s118-185 ITAA97
Apportionment

Keep good records of 3rd element cost base expenses.

A joint purchase could help him where he could not borrow on his own.

Or perhaps you could lend him the full purchase price and he could refinance this later when his serviceability improves.

It might also be good if he can buy a main residence and use the 6 year rule to rent it out and avoid CGT too.

yes it could help. You would need to argue that you are not an owner of the business and do not have access to the company financials. If the shareholders have the same surname as you this may be difficult though.

Yes I have done these for clients who qualify by being in a relevant profession such as lawyers or accountants or doctors. In the past I have increased someone’s existing loan to 90% LVR with no LMI. Most major banks offer these waivers.

But the new ‘rules’ may make this more difficult as you have to overcome the cash out restrictions.

yes should be able to. Interest on the deposit too. Don’t forget council rates as adjusted at settlement

Yes probably – incidental use may be ok but you will have to get some specific advice as it is a bit of a grey area.

Pity the testator didn’t get advice before doing their will as it could have saved you a fortune.

Unless the will allows the transfer to a trustee will be a dutiable event and therefore attract duty. It will also be a CGT event – which may be exempt depending on the situation. There may be ways to avoid this, but probably not if the tra…[Read more]

Kevin you should probably start off with some books on property investing. Dymocks has a good selection

Yes that is right. It must have been the main residence first. The op said he lived in it for 9 years prior to renting it out.

In that case none of the expenses would have been deductible. But keep records of them as some of the costs could be used to reduce CGT when you sell – not the travel costs though.

In these sorts of places it will be hard to find a valuer or an agent.

Perhaps try one of the very big firms such as Herron Todd White. They may or may not be able to help, but may point you in the right direction.

Did you plan to build a main residence on it or an investment property? Is there a house on it now?

“3 years ago I used equity in land to buy investment property bonded that land with the investment”
Do you mean you used the land as security for a loan used to buy an investment property?

Income tax is a commonwealth tax so only one tax return for income in Australia.

They could claim anything – but if audited they need evidence of payment and what it was for. Why can’t you give an invoice? no ABN needed

I am a lawyer that specialises in structuring. If you want one in WA Brett Davies maybe a good one.

accountants, if they are tax agents, can advise on the commonwealth tax aspects – not land tax or stamp duty.

Yes there are various issues with getting a loan ‘in a’ trust. but generally it is not much harder than the individual getting a…[Read more]