Hi All, Approx 4 months ago I bought a lot of land through an agent prior to the plan of sub even being approved.
The contracts will be ready at the end of the month but all I want to do is on-sell the land at a higher price as the settlement is still about 12 months away.
Is there anyway to on-sell the land without paying stamp duty/. I know when signing the contracts I can place down “in nominee” but I am unsure to what extent this has an effect?
I think my only solution at the end of the day is purchasing the land (in my own name), then re-listing the land and if I sell it, I’ll then have to settle 1 day after I settle. But then I’ll be subject to CGT and Stamp, which will probably not be worth it. Is this right or is there another way around this?
Cheers,
DIM.Don;t think there is any legal way of doing it.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi, unsure about the proposed “in nominee” on the contract to avoid personal CGT upon sale but maybe you could try on-selling without involving an agent? this could save $$$
Just out of curiosity where abouts is the land, in Victoria?
If so what size are the blocks and how much would you take on a 30 day settlement subject to finance?
p.m. me with details thanks.
In Vic, previously anyway, you could sign a contract "and/or nominee" and then switch to the nominee's name at settlement with no stamp duty implications if you had a written agreement with the nominee before you signed the contract, whereby they appointed you to act as their nominee.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi Guys,
thanx for the info, thought it something along thoes line. Have to worth the math and see if its worth it.
Cheers,
DIMTo Answer your question joelc,
Land was bought in Hastings, Victoria. My purchase price was 130K and the land size is 706s/m.
The developer is relisting his 6 lots of 600s/m at $140+ hence I did want to keep the lot.
But Even if i was to sell the land at 145 – the 3K stamp and 2% to the agent, after all the stuffing around and not to mention loan app fess, I would proabbly only make around 5-6K.
The agent believes he can relist the land at 145K at time to settlement without any issues. However, if anyone was interested in purchasing "and/or nominee" I would ask for 5K clear, and they can purchase the land at 130K.
Cheers,
DIM,
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