Hi Tracey.Say Tracey purchased $100,000 in shares and these dropped and she sold them for $40,000. She would have a Capital Loss of $60,000. This loss cannot be used to offset her income because it is capital in nature.Tracey also owns 3 properties.A. In her own nameB. In her companyC. in her trust.If she sold A and made a $60,000 CG how much CGT…[Read more]

Get a new accountant!No one should own real property in a company because of 2.5 reasons:1. No CGT discount2. Income does not retain its character 3. Profit can only go to shareholders, or employees as a wage (or contractor).Therefore no one in the know would ever recomend a  company to own property – real property, shares etc.Look at trusts instead/

I cannot understand what you are talking about sorry.Sounds like you are jumping to conclusions.Don't talk equity, talk figures and it may make it clearer. Money in an offset account is not equity – it is cash. Equtiy is the difference between the value of a property and the loan outstanding on it.

Of course you can work together. I am a lawyer and a Finance broker and soon to be tax agent too.You probably could not run both together through the same company, and wouldn't want to either. I think there are licencing restrictions that at least 1 person with a real estate licence must be director of a real estate company. All directors of a…[Read more]

With trusts the income retains its character so any CGs could flow through to indivudual beneficiaries of a discretionary trust. This is different to a company for example a capital gain would still be a capital gain but when it gets distributed it will change form to that of a divdend. So if you had a shareholder with a capital loss (from a…[Read more]

I think Bob Balanda is up that way. He has written a few books on "clauses made simple" and optons too. Google

Roddy1,What is the purpose of your statement?aLSO,Whats up with this forum? Typing in word and then pasting here results in the above stuff…

Have you had some tax advice? Legal advice?especially if the assets are from a will or deceased estate.You may also need to consider centrelink aspects and superannuation.

What is in the contract? Tenant or vacant possession?

There was a property related one recently too, which covered general deductions for investment property etc. I posted a link on the somersoft site, but not here sorry!I did go to the SMSF seminar and it was about 2 hours full of relevant information on all aspects as such contribtions – mandated and non mandated, what happens if you exceed the…[Read more]

There is also the argument that as the trust is a discretionary trust (in most cases) the trustee of the trust has discretion as to who to distribute the income of the trust to. Therefore there is no guarantee that the trustee is going to distribute anything to you, the loan applicant or trustee or guarantor. So having a trust could actually…[Read more]

When I was younger I went to as many free seminars as I could afford to . I think it is a good way to learn. I still do go to free seminars whenever I can – went to a recent one by the ATO on SMSFs (they didn't try to sell me anything which was strange).

You must weigh up whether to save tax now or later. I suggest you do the sums.

Do the sums

The more deposit you put in the less the LMI. Usually no LMI under 80% LVR.

CGT too as well as legals and new loans. GST too maybe.Using a trust won't help you borrow more either.

That is generally ok. But if your spouse is on the highest tax rate what happens after a few years when the income exceeds the expenses?

yes

Good in theory, but virtually impossible in practice.In Australia you would have stamp duty to pay so you would need to resell it for much higher to make a profit.You should really get insurance if you have an interest in the property. What if your vendor has a high mortgage and failed to insure the property and then it burns down – you would have…[Read more]

Is a SMSF able to invest in a company that does vendor finance? I haven't considered this before, but off the top of my head would suspect it couldnt unless the company was unrelated to any member of associate of a member of the fund and the property owned by the company were unmortgaged.