There are a number of issues that you need to consider with asset protection.Firstly, never enter into a partnership. It is extremely dangerous as all partners are liable to debts of the partnership. So you could both end up losing your assets if you get in trouble. You should look at using a pty ltd company as this limits liability, usually, to…[Read more]

For tax deductions it is best to spend as much money as possible – but this may not always make commercial sense.

Could be both

There are also CGT consequences of life tenancies on granting and surrendering.

Yes, I have had experience. invested in a few projects over there.My advice would be not to invest in thailand. I have written about  this before here.Why not invest here and just rent over there?

AM2778 wrote:

InvestmentPupil wrote:
Ben – I believe so, otherwise they won't be called a Bank and but instead a Pot-of-Gold-Free-4-All AM2778 – Not sure why you're not having your repayments coming direct from your offset instead? (if you're paying off your LOC loan with your LOC, you're capitalizing interest are you not?). I think ATO does…[Read more]

I agree with Dan.The accountant is incorrect. Unless he is referring to a unit trust. IT 2385 says it all.If your accountant needs any more confirmation he can look at the recent rulings concerning Hybrid Trusts were deductibility of interest was only possible subject to the wording of the deed concerning the discretion of the trustee. Why not…[Read more]

kaiseriqbal wrote:
isn't tax irrelevant when comparing the two. If he takes money out of his offset account which is linked to an investment property, the interest expense will be higher and his tax benefit (tax shield) will be lower. If that 50K was put into a TD, then he would have to pay tax on the interest.So the important thing here is the…[Read more]

And if no names are mentioned the lenders can't ask for guarantees or letters etc. It is only a few lenders too, not all.

Unlimited from the trust point of view.If you are talking tax, then you have to look up the ATO website and find children's tax rates and also consider the low income rebate.I think it is about $3,600 pa before they have to pay tax now – this is on unearned income. If they have jobs and get salary etc, then they are taxed at adult rates and may…[Read more]

the trust deed will determine this. usually there is no limit

Being single shouldn't matter.Even if you are the only beneficiary for now you can add a company later if your personal tax rate hits 30% or more. this way the trust can distribute the income to the company which would pay a max 30% tax.In addition you may get married, have children, adopt, get some step sisters, or some how end up with family on…[Read more]

Yeah, i think it would continue with the executor in place of the dead guy.

It shouldn't affect serviceability. But you must have committed the sin of cross collateralising the loans so it will affect you.The banks used to give notice to customers when valuations came in significantly lower than purchase price. I remember some banks required the client to sign something acknowledging they were aware of the low price and…[Read more]

Whether it is a good buy or not is another question.

Yeah, with the deposit you have to pay tax on the interest received too – plus have your money tied up. I think the offset would be better – unless you had a spouse with no income maybe.

A trust is where someone (trustee) owns something in their name for someone else (beneficiary). There are many different types of trusts, but the most common for investing is a discretionary trust. This is where the trustee owns a property for a wide class of beneficiaries. Any profit is distributed by the trustee to the various beneficiaries…[Read more]

A good one will charge you around $300+ per hour.An ordinary one may charge a around $200 per tax return then extra based on per property, shares etc.

Say she transfers her share to you based on $380,000 val.CGT will be approx:$380,000 – $130,000 = $250,000Less stamp duty and other costs when purchased and selling costs, say $10,000= $240,000 gainOn this you get the 50% discount because it has been held more than 12 months = $120,000But you are only transferring half, so her capital gain will be…[Read more]

Try to get them down. I personally wouldn't pay more than market valuation unless you really love the place. There are plenty more properties out there.