Afternoon
Recently we have had a personal bereavement in our family. The three children are executors of the will and also the benefactors. we have a family home valued at 510k to be shared.
My partner and i are starting to look to purchase an investment property through a trust structure. We are also looking at buying my sisters out and purchase the family home also through the same trust structure. My question is can I buy my sisters out and pay only 340k for the property off my sisters through the trust or is there some legal ruling that the estate must sell at market value i.e we pay 510k for it?
We are looking at a long term buy and hold on the family home. I am aware if the sh#t hits the fan I would be up for a huge CGT.
Any comments or suggestions would be great.
Cheers
MichaelSorry to hear.
I think there is nothing to prevent you from purchasing your sister's shares via a trust structure. You should get some expert advice regarding this as the tax issues are rather complex and there may be ways to save lots of tax – especially if the home was purchased pre-CGT.
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
You must be logged in to reply to this topic. If you don't have an account, you can register here.
