Taxman Crackdown on Low-Doc Loans

Either way those who have overstated their income on those low doc home loans could be hit both ways. The Tax Office could firstly issue an amended assessment based on the income you stated in your low doc loan application (and it is up to the taxpayer to dispute that assessment).

Then if the taxpayer does prove that the income was overstated they have committed a criminal offense and committed fraud.

I don’t think people will be charged over these offenses (although guess we have to wait and see). But I think it is another way to rein in the high borrowing levels of the average consumer in Australia.

James

generally it is the same serviceability with full docs and low docs. No Docs are good because you do not need to list an income.

Terryw
Discover Home Loans
North Sydney
[email protected]