Hello,
My girlfriend and i have bought a property in a HDT. im not quite sure how i structure my tax returns now, i currently rent the house back off the trust for $300 per week.
How does this work when it comes to tax time?
Hi Avranjes,
You should seek specific professional advice from your accountant regarding this matter. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Watchout for the taxman. Have you considered putting some distance between yourselves and the trust by having someone else rent the property from the trust (and you live in it)?
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
Originally posted by Terryw:Watchout for the taxman. Have you considered putting some distance between yourselves and the trust by having someone else rent the property from the trust (and you live in it)?Terryw
Discover Home Loans
North Sydney
[email protected]That sounds even more fraudulant Terry?
Geez you may as well go the whole hog and do it the illegal way by < edited >
If you are acquiring assets in the Trust and it is structured the right way, then i cant see theproblem, especially if you are aware of the disadvantages as well..
There seems to be ‘many’ ways of conducting this in a legal manner and if you sell or start making a profit the ATO gets their cut, if not, then i’m sure it will be done in the manner described above..[wink4]
[biggrin]
REDWING“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorWhy Redwing?
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
Are you talking about someone else as in your wife or by other means such as a friend (who doesn’t really live there)or renting a room (but in essence the house, as you will be renting the room on paper).
Would this not make it a lot harder by then having to apportion rent, electricity etc ?
Would it not be better to do it up front as Avranjes hasdone, as long as you show that the trust is established to acquire wealth creation assets with the goal of making a profit?
I’m sorry if i’m Misinterpreting your post Terry..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorIf the trustee was the husband, renting the house to the wife would put a bit more distance between the two. Renting your house to your brother etc would be even better. He could always let you stay there with him.
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
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