Forums / Property Investing / Help Needed! / Transfer of Title to trust – Off the plan

Viewing 9 posts - 1 through 9 (of 9 total)
  • Profile photo of PengPeng
    Participant
    @digiroad
    Join Date: 2015
    Post Count: 4

    Hi, I purchased an off the plan prop last year and the stamp duty is due in February 2016. My wife and I are on the title of the contract. We are now considering transferring the title to a family trust as the off the plan prop will be our IP. My questions are

    1. what is the process to get this done?
    2. Will any costs be involved and What’s the best way to minimise costs?
    3. Will any extra stamp duty incur?

    Thanks in advance!
    Peng

    Profile photo of SteveSteve
    Participant
    @steve70
    Join Date: 2015
    Post Count: 10

    Hi Peng,

    Please confirm if the property has settled?

    Steve
    Email Me

    The devil is in the detail, always ask why?

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,110

    What state?

    Seek legal advice as generally stamp duty payable again as it could be considered a subsale. In VIC perhaps not.

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of PengPeng
    Participant
    @digiroad
    Join Date: 2015
    Post Count: 4

    The property is in NSW and will be settled in late 2016.

    Thanks Steve and Terryw for reply!

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,065

    Definitely get legal advice. Sounds like you may be up for duty again. Is it really worth it?

    What benefits will the trust provide over individual ownership?

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,110

    What about the land tax in NSW!!

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of PengPeng
    Participant
    @digiroad
    Join Date: 2015
    Post Count: 4

    Definitely get legal advice. Sounds like you may be up for duty again. Is it really worth it?
    What benefits will the trust provide over individual ownership?
    Cheers
    Jamie

    Hi Jamie, The reason to transfer to trust is that we consider establishing our investment portfolio as we have another off the plan prop to be settled in mid 2017. We did not thought through that well before the contract was exchanged last year. The stamp duty will be due for payment in January 2016. Is the duty payable again if the transfer is made before January 2016?

    thanks,
    Peng

    Profile photo of PengPeng
    Participant
    @digiroad
    Join Date: 2015
    Post Count: 4

    What about the land tax in NSW!!

    Hi Terryw, That is the area I am confused. Is the land tax threshold applied to off the plan property? What if the property transferred to a unit trust?

    thanks,
    Peng

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,110

    What about the land tax in NSW!!

    Hi Terryw, That is the area I am confused. Is the land tax threshold applied to off the plan property? What if the property transferred to a unit trust?
    thanks,Peng

    Trusts get no threshold in NSW

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

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