OK -I have discussed this a bit with Derek, and an option I may have to take, to benefit from tax deductions, is to have the majority stake in our property in my name (as my wife will not be working whilst the unit would be rented out and would have zero income). I have lodged a query with the OSR, but thought I would also throw it to you guys…is this the only way I can take “liability” for the entire/majority of the tax deductions? If so, do I have to pay stamp duty to make this change? (please say “not a penny”). Thanks for any feedback.
Just a thought, (read carefully) – if you are seperated and buying the other partner out, you dont have to pay stamp duty
Fern
Hi Andy,
I inquired about this quite a while ago on behalf of a client, sorry but I don’t remember which State, but from memory no stamp duty is incurred between spouse on a PPR, I think it falls under the (love & affection) policy.Good luck & I hope everything works out for you, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Originally posted by fernfurn:Just a thought, (read carefully) – if you are seperated and buying the other partner out, you dont have to pay stamp duty
Fern
Or the No More Love and Affection Policy?
Anyway Andy – call these guys and find out for sure exactly where you stand.
General duty enquiries
For conveyances, mortgages, contracts and premium property duty
Phone: 1300 139 814*
Fax: (02) 9689 8280
Email: [email protected]Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
We subdivided a block my mum owned and put the new block in my name and I had to pay stamp duty at the amount the valuer general valued the block at the time of title transfer. Love and affection unfortunately had nothing to do with anything with our family transfer. we live in Rockingham WA.
Originally posted by lisabellan:We subdivided a block my mum owned and put the new block in my name and I had to pay stamp duty at the amount the valuer general valued the block at the time of title transfer. Love and affection unfortunately had nothing to do with anything with our family transfer. we live in Rockingham WA.
I think the difference lies in that it is between spouses.
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
L & A certainly is alive and well in the Sunshine State.
Richard Taylor
Residential & Commercial Finance Broker
**Lodoc Commercial loans from 7.39%**
Licensed Financial Planner
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Bad news – we would have to pay duty on the portion transfered.
Just confirmed with the OSR, NSW. No such thing as a love and affection exemption between spouses on a PPOR transfer.
Give me a break! Anyway, thats a big blow to renting out the unit, as the tax breaks would effectively half.
Back to the drawing board.
Call Nick Moustacas at http://www.strategicwealthmanagement.com.au and see if he has any ideas.
Tell him I sent you.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Your right Andy, Just spoke with the OSR, duty is applicable when transferring title under Two spouse names to One spouse name.
However, Duty is not applicable when transferring name on PPR title from One Spouse to both Spouse names,
Sorry this doesn’t help with your current situation but I thought it might be helpful info for others. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
It depends on the state.
In SA, you can transfer PPOR from 1 spouse to another (i.e. 2 becomes 1) without SD. But there will be fees for lodging and altering the title. At least you could 12 months ago and I don’t think those rules have changed since.
Margaret
HI andy,
Bugger – back to the drawing board.
OK lets consider the issue of stamp duty – how much will the bill be if you bought your wife’s share out?
Yes it could be a knock but in the bigger picture it may still be worth paying. Micgh be worth another call to the OSR.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113Hi Derek – the OSR said that for the buyout I would propose (we own 250K each, so I would buy about 200K from her?) would be $9000 + $.450 for every $100 on top of that! – so about $18K??!!
Cant understand that – thats the same duty you would pay on a 500K purchase?!!
I’m going to call Nick M. (accountant) – see if he has some time to discuss our situation.
I’d like to say a big thanks to all – Jarrah / Depreciator / Derek / Alistair and everyone else who has contributed. I promise to keep you all up-to-date with my progress..this really does show that working together, helping each other and just being a good person can really make a difference to one, two..many peoples lives…keep it up!
Originally posted by andymitchell:Hi Derek – the OSR said that for the buyout I would propose (we own 250K each, so I would buy about 200K from her?) would be $9000 + $.450 for every $100 on top of that! – so about $18K??!!
Cant understand that – thats the same duty you would pay on a 500K purchase?!!
I think it should be half that as well. Maybe another call?
Another thing to be careful of. If the ATO suspects that you have purely done this transfer to reduce your tax then they may disallow it even after you have done the transfer – I would feel better if you ran it past an accountant.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
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