ricci535Member@ricci535Join Date: 2012Post Count: 1
Hi ,I have a volume of money in a smsf I want to purchase a property outright,The rental returns will go straight back to smsf.
making money ,Question ; are the funds subject to tax,what are the implications with depreciation on the property ,luke86Participant@luke86Join Date: 2010Post Count: 470
The implications for depreciation are exactly the same as if the property was owned outside of a SMSF- it reduces the taxable income.
LukeTerrywParticipant@terrywJoin Date: 2001Post Count: 16,190
Tax will depend on a few things. Generally income of a SMSF is taxed at 15%. But the SMSF can claim the usual deductions.
If the fund is paying a pension then the income could be tax free.Richard TaylorParticipant@qlds007Join Date: 2003Post Count: 12,018
The second question is why would you pay cash for the property when you gear and depending on the amount concerned buy a couple of properties within the SMSF.
Yours in Finance