Nope.

Similar to if you sold a property that you owned and bought another still a taxable gain

For calculation purposes putting money in an offset would ssve the same amount of interest as if you put the money into the loan. So a normal calculator should work. In excel look for a amortization template.

.

For your 800k property you would be far better to get a large loan and place extra cash in the offset. This is for tax reasons.

You could possibly borrow to pay non interest related expensese. Capitalisimg interest is generally ok under tax law but the ato have said they can deny the interest if it is being done with a dominant purpose of paying off your home loan sooner.

There are no stamp dutu concessions in nsw for the sale of an ip to a spouse

Slight changes in tax rates from July. Also consider the delay is paying the ato cgt. If sell after 1 july you can keep the.money for another year

Newcastle Knight wrote:
Terry
how could they then attack and personal assets of mine if I was to guarantee another loan as I would not own anything (on paper anyway).

There are at least 4 grounds they could attack your personal assets
1. Transfer to defeat creditors – bankruptcy act
2. Transfer to defeat creditors – Conveyancing act
3.…[Read more]

The phrase limited recourse is partially misleading. It only means, in relation to SMSF loans, that recourse to the SMSF assets is restricted.

You should be paying IO on all loans untill your PPOR is paid off or untill you offset account is equal to the loan. Extending term wont effect tax.

What did you mean about arresting the repayments above? If you have stopped making repayments and are letting the loan increase then you could be in dangerous territory and should seek tax advice on this.

It is standard practice for banks to ask for personal guarantees even for so called limited recourse loans. No breach of the SIS act either.

There are one or two lenders which can allow lending under certain circumstances so you should speak to a good broker about that.

Removing you name from title will have little to no asset protection basis…[Read more]

cutegirl wrote:

Terryw wrote:
If it is in victoria you can transfer to a spouse without stamp duty. This will be a cgt event though. If you are looking to deduct interest then the transferee will need to buy if from you at full market value and borrow to do so. This can be done without or just nominal stamp duty in vic. Seek legal advice from…[Read more]

Josh_P wrote:
Check my reply below. I'm not sure if it suffices as symptoms but that's my situation. Any advice will be taken gratefully!

STill not enough detail to answer.

This is like trying goolge for medical advice. A sore stomach may be indigestion or it may be an appendix for example.

Is also not just a matter of determineing tje name…[Read more]

If it is in victoria you can transfer to a spouse without stamp duty. This will be a cgt event though. If you are looking to deduct interest then the transferee will need to buy if from you at full market value and borrow to do so. This can be done without or just nominal stamp duty in vic.

Seek legal advice from a solicitor before attempting this.

I don't see this making any difference to owning the property in your personal capacity. If you are looking at landlord's insurance then it may, but not for building.

I just reread the initial post and that is generally a good idea what the broker suggested. But because there are multiple parties we need to consider a few more issues.

When injecting money into a trust you need to consider the loan v gift issues outlined above. You also need to consider taxation aspects too.

dangermouse99 wrote:
Ok I'm starting to understand. In lieu of what I want to do. Wat do u suggest I do??

May have to work this out over several posts.

FIrst, who is the owner of the cash? You, spouse, trust a , trust b etc? And where is it sitting now?

Dangermouse you have to remember that the trust is not you and you are not the trust so think of it as a third party. When passing money money to a stranger you want to make sure the terms are clear. If it is a loan it is still your money if it is a gift then you give up rights to ask for it back.

Also think of the problems if you were to…[Read more]

Hi Dean

JUst becareful when different entities are involved. Transferring from one to the other is possible but just think of classication. Is it a loan or a gift etc.Things can get messy and it will eventually become impossible to work out.this can lead to weakening of asset protection and estate planning problems too.

Yep. Thanks Richard.

JUst after I made that post I passed a fatal accident with the dead body of a motorcyclist on the side of the road…

If ing sold the security property and there was a shortfall they would then be an unsexured creditor

What structure is like asking for what is the best medicine
We need to know the symptoms first

House of weslth sre good on the expat side. Speak to michael there in melb office.