Thanks for your post Stu. I had no idea that could be done and will have to look into it.

Rob when buying things for the trust, you buy in the trustee’s name which is your own (if trustee). You then just get the loan in your name as well. So title is in your name and loan is in your name. Confusing the first time. I remember the first time I…[Read more]

I wonder how cnetrelink would look at a pensioner wrapping a proeprty. The ATO considers the sale to occur on exchange of contracts – even if paying in installments. You could lease option it off him also, but the rent would be over his threshold as well. a tough one.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Yes you can pay interest a year in advance, and can claim it in the year you pay it. But remember you are just bring forward you deductions, and you may not have much to claim the following year – so watch out if you expect your salary to increase.

To claim in advance, you must know how much the interest will be, therefore you must fix the…[Read more]

From a wrap pack (steve’s or rick’s) or from a solicitor. or maybe from someone who has done one.

Try Solicitor Lewis O’Brien in Vic.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Misty

You may have mixed things up a bit?

A lot of people rent while investing. ie they rent out their own home and negative gear it, saving tax. The rent they pay would not be a deduction though.

Is that what you meant?

Or if you a renting a business premisis, the rent would be a deduction. Some people run a business from a portion of their…[Read more]

One idea is to:
Just import something from the country you want to go to. Something that will be easy to sell. eg Men’s black socks.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

I would think it is exactly that same as selling yours and buying his – as that is what you are doing in essence.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Lucifer

Just remember, this guy signed a lease as director of the trustee company and then broke it mid term. when they sued, the trust had no assets so they have come after him. Usually a director/trustee would be required to provide a personal guarrantee. In this case it looks like he didn’t. But it is something deliberately done by the…[Read more]

I’ve heard that livestock (cows etc) can be depreciated too!

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Julian

I would use a trust and would imagine you only need an individual trustee. This is because you are only holding shares, and the trustee getting sued would be very rare. (Diff to property as the trustee could be sued if the tenant injures themselves etc). BUT check this with an accountant.

Terryw
Discover Home Loans
North…[Read more]

Julian

If the long is for investment or business purposes it is not regulated by the UCCC. ANd as far as I am aware, there is not itnerest rate ceiling imposed. You know the money is for investment by getting the customer to sign a declaration as to the purpose of the funds.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

The company is just the trustee of the trust, the trust is the ‘entity’ earning the money, but trusts do not get taxed. What happens is the trust deducts expenses and any profit left over is distributed to the beneficiaries – at the trustees discretion (if a discretioanry trust).

So in the above example, if $50,000 was left over after all…[Read more]

Rob

I have done a few loans thru bankwest for Hybrid trusts. I have also used one other lender – can’t remember who at the moment. Tonto will also do them, and many other I imagine.

Most lenders will also lend to the trustee. I have a few of my loans in my name without mentioning my trust.

Terryw
Discover Home Loans
North…[Read more]

I am unaware of any 100% loans available in company names, but if Rob has one then they must be available. Sometimes these may still not be ideal if they have high interest rates and/or fees.

Smooth. It sounds like your company is already trading. If so, you should not be buying a property in this company for asset protection reasons. Please talk…[Read more]

Liz

yes brokers can get access through Baycorp (they also offer access of many other things, title searchs, ASIC director searches etc). But everytime you check, there will be another entry which doesn’t really look too good on the poor clients record. So it is better to get them to order their own.

Terryw
Discover Home Loans
North…[Read more]

4 weeks is farily long. the norm is more like 14 days. The biggest delay can soemtimes be getting the valuation done. If tenanted, sometimes the tenants can hold up the valuer. It is better to go longer if you can.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Bigstrides

Are talking about a sandwich type wrap. ie you are the wrappe and then rent the property out?

I have thought about this and think it would be a good way to get unlimited low deposit finance. The only problem would be servicing the loans. It would be pretty hard for a proeprty to be postively geared on the higher interest rates, but is…[Read more]

It is extremely rare to get audited. I only know a few people that have ever been audited. And one worked for the tax office! The other was partially audited. ie they were asked to substantial certain expenses, but not questioned about others.

But like Jeff above, he was audited a second year in a row. They must think peole let their guard down…[Read more]

I suggest you talk to a professional about this.

Your company will still be required to pay tax on the profit it makes, transferring it to another company and then investing it will not help you avoid this.

If you own shares in a company, it is better to own them through a trust as it is more flexible in regards to tax, and safer. What if you…[Read more]

Julian
not that I know of.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au