GST on commercial property purchase

Viewing 5 posts - 1 through 5 (of 5 total)

chief007
Participant
@chief007
Join Date: 2004
Post Count: 11
May 6, 2006 - 7:06 am
Hi guys,
I am looking at purchasing a commercial office/warehouse with my father for about $700K in the North West of Melb as we have a fair bit of equity behind us to support this transaction. We would only borrow about $200K which we already have approved finance for.
I have a question though that given that GST will be about $70K will we be able to claim this full amount back later on. We will be registering a new legal entity for this transaction. What amount would we get back if any at all?
Really would appreciate some sort of feedback on this issue.
Thanks
Tools
Participant
@tools
Join Date: 2003
Post Count: 363
May 6, 2006 - 12:33 pm
You will be able to claim it all back,but I suspect that you would need to be registered for GST before you purchase.
Tools
Stuart Milne
Member
@stuart-milne
Join Date: 2006
Post Count: 196
May 6, 2006 - 1:23 pm
ABN for 1 day prior to purchasing the Property = BAS statement = $$$Refund.
Thought I’d keep it simple.
Stuart Milne
Non-Conforming Specialist
READY Mortgages
http://www.readymortgages.com.au
[email protected]
Mob: 0404 056 055
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
May 7, 2006 - 10:13 am
I think Stuart means 1 Day before signing the Contract not 1 day before purchasing the property which could be settlement date.
Richard Taylor
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Stuart Milne
Member
@stuart-milne
Join Date: 2006
Post Count: 196
May 7, 2006 - 12:24 pm
Oops. Thanks for that Richard. I did indeed mean that, and my apologies for any confusion I may have caused in that regard…
Stuart Milne
Non-Conforming Specialist
READY Mortgages
http://www.readymortgages.com.au
[email protected]
Mob: 0404 056 055