This site has provided so much information and prompted me to kick start buying an investment propert.If husband and wife are on similar incomes and that is not likely to change is there any tax advantage in a property title being in one person’s name.
nm,
You need to think about it in a bigger way than this. You say that husband and wife’s income is the same now, but will it always be? What if one of you wants to retire? Or needs to stop working because of illness (hopefully not) or other reasons? Or is made redundant?
The last thing you want is to find you have put all or half of the tax liability in the name of the person with the highest income.
There are some trusts around that are flexible enough for you to cover changes in situations as above.
Another reason for the use of a structure is that it can protect your assets from litigation and also minimise tax.
See a good advisor – one who specialises in property, not just your average accountant (even though they will tell you they know about trusts.
Megan
Look at setting up a trust. that way you will be able to change distributions of income each year, if necessary.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
We will look at setting up a trust if we decide property investing is the way we want to go. We have just purchased a property as we believe it was at a very good price (owner needed to sell, renovations need completing)so for now should we just leave the title in both our names? Thanks for all your advice, much appreciated.
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