I’m sure this is explained in Wealthguardian which i do not have a copy of: What vehicle (coy, trust etc) would best suit someone who wanted to buy multiple +ve cashflow properties and not necessarily be concerned with any taxation benefits? any views appreciated
Why would you NOT be interested in any taxation benefit??? After all, there are some that would argue that they can get back ALL their expenses as a tax deduction, which to me, would be nothing short of a bonus, wouldn’t you agree???!!! [blink]
Basically, what I am trying to say here is, whatever vehicle you use (trusts etc) don’t totally disregard the benefits available to you, no matter what guise they take on!!
yes i agree – any tax benefits are great – wasn’t sure if some structures allowed personal tax benefits e.g. coys. Apart from using discretionary family trusts does anyone have a view on other vehicles to use?
I’m not an accountant, but from my understanding…
Your basic choices are your own name, a partnership, a company, and a trust. Generally speaking, trusts are recommended for a combination of reasons including asset protection, flexibility, and tax advantages.
You can get some information about these things from the following Websites:
http://www.taxlegal.com.au
http://www.strategicwealth.com.au/e2content.asp?Request=Structure.StructureCompanies are usually NOT a good choice for holding appreciating assets as you lose the 50% CGT discount available to individuals (and via trusts).
If you want to read up on trusts, Nick Renton’s book called “Family Trusts” is very good. The latest edition was only published a few months ago.
Dale Gatherum-Goss also has a book called “Trust Magic” which you can order from his Website:
It’s significantly more expensive than Renton’s book but is more directly applicable to property investing. It also covers hybrid trusts, which Renton’s book doesn’t much.
GP
thx muchly Greatpig – might have a look for one of those books – i already have bought property thru a family trust – seems like it’s the way to go then – thx again
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