Sorry you probably have this question a million times. If my husband buys an IP can he rent to me so we can negative gear? He wouldn’t live in the property.
And will you be legitimately living in the property?
And how will he negative gear more with you renting the property, compared to someone else?
Corey Batt | Precision Funding
http://www.precisionfunding.com.au
Email Me | Phone MeInvestment Focused Finance Strategist - servicing Australia-wide
Part IVA of the 1936 ITAA would deny any deductions, but legally you could rent to him.
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
Thanks for responses. The reason is I wanted something closer to my kids school that my kids could use when needed (across town). Its too expensive to move (stamp duty and houses are worth more near my kids school). If my husband buys a small apartment and rents it to me then can we tax deduct any loss? I get that there will be no gain as he is renting to me and I will have to pay market rent, but any loss on interest only loan after the supposed rent changes hands could be a tax deduction? It sounds dodgy when I write it down like this:)
If my husband buys a small apartment and rents it to me then can we tax deduct any loss?
I answered this above.
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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