I want to know if there are any rules or laws that would stop me from applying for an ABN and starting a business relating to property investing, home maintenance and renovations. The specifics arent really important at this stage.
But basically use rent received from any investment properties as cash coming in. Just like primary producers, once they turn over 18K+ they can then start to write off expenses against the business. Expenses like cars and fuel and storage and anything in your day to day running your business and in this case a business that specialises in property investing and restorations?
Would be great to hear some opinions on this! There are plenty of people who run businesses in other industries with no other objective other than to provide a legal way to ride off expenses. And as I mentioned, primary producers are classic examples of this. These guys constantly run at a loss.Is anybody game to touch this or is it just too stupid??
I will not be offended by any comments so feel free to tell me what you really think
Is there seriously nobody on here willing to add their point of view, either to shoot me down or add some form of input???
Yes, of course you can have a business. But you need to make sure you have the right licences in your state.
You may need a builders licence for example to do renovations.
Your accountant would be the best person to speak to as to how to structure this. Are you talking about the business buying properties then renovating? Or buying under your name and the business does the reno.
Or doing reno’s for other people? Lots of difference in all of these. What do you mean by using rent? (as in the business owns the property?)
BTW- I know you probably didn’t think about it but- your “I want to know”: is maybe a bit off puting.
A nice request gets lots more replies.
cheers.
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This reply was modified 10 years, 2 months ago by
Catalyst.
Hi Catalyst,,Yes I hearing what you are saying. I think rewording my opening line to “Im interested to know”….. may have sparked a little more interest.
I dont think I explained my business idea very well and its not really a business….in traditional term. I am talking about properties that I already own and using the rent money as income and the interest and any other expenses as outgoings.So I have expenses and income like any normal business. I then want to deduct any other expenses I encounter with running this business like cars, fuel, tools etc.
I actually posted the same post in the legal and accounting section and Terryw has posted a reply
“Having an ABN won’t change anything. You cannot contract with yourself and even if you could the income would cancel out the deductions. Nor could you claim more expenses just by having an ABN. If you are contracting with others you could claim expenses associated with the production of this income.”
I think that basically sums it up.
Doing a real estate investment is not much expensive in business because it returns more then investments. I have good experience in Gold Coast in property investment. I have a home with three bedroom space and on rent I am earning $750/week. But don’t have idea about renovation and construction businesses.
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This reply was modified 10 years, 2 months ago by
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