hi everyone i need some help on somthing ive got a vacant block of land and would like to build a billboard on it for advertisement for the local iga and realeestate to rent, is it classed as an investment i mean a vacant block of land is a dead asset but if it is producing an income is it an investment and be claimed on tax as that? also do i need council aproval to build it?
I would think you could use that income to initiate negative gearing. Refer to the section on vacant land on page 1 of this document ; http://www.loganaccountants.com/ISSUES%20IN%20NEGATIVE%20GEARING.pdf
Basically it says this:
"You cannot negative gear a vacant block of land. This is because in order to get the tax benefit from your salary job, you need to make a 'business style' loss from applying the income received (rent) against the expenditure of the operation. As vacant land contributes no income, you cannot make a business style loss from it for tax. "Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
its a tough subject isnt it. if it says i cant claim investment on vacant land then theorecticaly it isnt vacant land with a bilboard and an income which exactly describes an investment so im not sure how to structure it . very confusing
also i have an investment property in gympie which is rented the first week in jan, i heard i can claim the difference of rent and also rates is this true? does it combine with my payg annual salary? thank you for your help this site is great ive been on for about 2 weeks and learnt so much!
also i have an investment property in gympie which is rented the first week in jan, i heard i can claim the difference of rent and also rates is this true? does it combine with my payg annual salary? thank you for your help this site is great ive been on for about 2 weeks and learnt so much!You must be logged in to reply to this topic. If you don't have an account, you can register here.
