Maybe I am missing something…
I have set up a PTY and Trust with a partner for assest protection etc.
If my company buys a house for the sole purpose of renovation to sell then isnt it required to pay GST on the sale? If this is so I dont see how this can be profitable, as generally the GST payable on the total sale far outstrips the GST credits from construction.
The GST implications doesnt seem to be really stressed in the examples.
Dear ALWALW
No you havent missed anything.
We do it for a living in SE Qld and probably do 100-150 units a year normally buying the property then Strata Titling them, renovating each unit internally and externally and selling them off individually.
You are unable to claim the imputation credits however are not liable for GST under the margin scheme on the end sale.Golfer
Thanks golfer,
On straight out developments this is different, ie GST payable on the sale price, less any credits you pick up along the way?
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