All Topics / Legal & Accounting / Change in Ownership

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  • Profile photo of CCINVICCCINVIC
    Participant
    @ccinvic
    Join Date: 2006
    Post Count: 1
    May 28, 2006 - 11:52 pm

    Hi,

    Wanting some help with a little property ownership problem………..My husband and I have one of our investment properties (in QLD) that we purchased a few years back when we were both working and it was purchased in joint names. I am no longer working and will not be in a position to do so for the next say 10 years.

    For tax reasons we are wanting to change ownership into his name only. We have been told that in QLD you have to pay stamp duty again together with my husband having to pay capital gains not like in Victoria where you can just transfer it over for a minimal fee.

    I am waiting on some other information but was thinking that maybe we should get a divorce and transfer it to him then through the court system as then apparently he won’t have to pay stamp duty or capital gains?? Any suggestions. Thanks, [confused2]

    Profile photo of salsachinitasalsachinita
    Member
    @salsachinita
    Join Date: 2005
    Post Count: 34
    May 29, 2006 - 12:20 am
    Originally posted by CCINVIC:

    ……… We have been told that in QLD you have to pay stamp duty again together with my husband having to pay capital gains not like in Victoria where you can just transfer it over for a minimal fee. [confused2]

    [blush2] Correct me if I’m wrong, but I have been under the impression that we (in Victoria) have to pay CGT, stamp duty etc as well (when transferring title fr one family member to another)…..? [eh]

    Could the expert forumites confirm this for us…?

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    May 29, 2006 - 12:49 pm

    I think divorce is the only way, but it may be a bit dramatic to divorce because of this – depending on how much the property is worth i guess.

    But are you thinking long term? The property will only be returning a loss for a few years. As rents rise, it will start making a profit. Then if it is owned by the high income earner then you will be paying even more tax.

    One more thing. If it is an investment now and has equity, then transferring it may allow you to increase the loan and have this deductible, but apply the increase (proceeds from your sale) to your own home loan.

    Terryw
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Viewing 3 posts - 1 through 3 (of 3 total)

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