Stamp duty happens on a sale, regardless if it's IP, PPOR, New Build, allowed to -ve gear or not allowed to -ve gear.
I see what you mean, but disagree. The new build which is allowed to have -ve gearing for a period will, after 100 years, be just as likely to have been sold the same number of times as the 100 year old house I mentioned.
GST also happens on a sale, regardless of those same factors.
It was intended that stamp duty would go with the introduction of GST. States reneged because it is their income.
As it turns out in the case of WA probably best that they kept it given 70 cents in the dollar raised flees the borders.
My only hope for my three boys is that they turn out nothing at all like Chris.
I believe a good top marginal tax rate and company rate would be 30-35%.
But when I pass on, why should my kids get the money tax free, especially when 3 of the 4 are self made property millionaires by the age of 27 and 28 and goodness knows worth what if I live to be 85 (another 30 years)
This applies to sole traders and individual partners in a partnership only.!
Not my companies....
What utter crap.
NG on property is treated the same as NG on a business investment.
If the property is a Pty ltd you cant claim it on your personal tax.
If business is a Pty ltd you cant claim it on your personal tax.
There is virtually no difference. The little thresholds they require are simply so that a man doesn't develop a hobby at home, lets say Restaurant reviews, and then claims all his meals outside of home as a deduction or seeing shows or collecting cars (oops).
You cant drive a house, BUT you can always sleep in a car!
NG on property is treated the same as NG on a business investment.
If the property is a Pty ltd you cant claim it on your personal tax.
If business is a Pty ltd you cant claim it on your personal tax.
There is virtually no difference. The little thresholds they require are simply so that a man doesn't develop a hobby at home, lets say Restaurant reviews, and then claims all his meals outside of home as a deduction or seeing shows or collecting cars (oops).
Oh, so I can use any loss in my company against my personal income....news to me....
Oh, so I can use any loss in my company against my personal income....news to me....
Mostl small business operators use a company structure to reduce the level of tax that they pay, that's hardly new information. Whether we choose to pay ourselves a wage as an employee, or a dividend, or pay back a loan to the directors, or lend money to the directors, or pump money into super, or distribute company income in another way we still write off any costs against the company income so it amounts to much the same thing.
All losses in this year get written off against income in this year, except when the losses exceed the income, then it gets carried forward and written off against next years income. People who think that getting rid of NG will change the world simply don't understand how taxes work. They are naïve.
Any expressed market opinion is my own and is not to be taken as financial advice
I don't think Pauk understands that Negative gearing is treated the same for companies and individuals and you can never swap losses between separate entities. IE Company losses against your personal income tax.
You cant drive a house, BUT you can always sleep in a car!
I don't think Pauk understands that Negative gearing is treated the same for companies and individuals and you can never swap losses between separate entities. IE Company losses against your personal income tax.
I understand it well. I also question why a 'business investment' like an IP which has losses can be offset against personal income, when company losses can not.
The profits and losses of a company belong to a company. The profits and losses of an individual belong to the individual You cannot claim someone else's loss on your tax.
You may own shares in Fortescue but if Fortescue make a loss only fortescue can claim against their future earnings. Not you or twiggy.
If your sole business was negative gearing houses for investment and you had no other income stream then you also couldn't claim the loss against anything except your future earnings.
You are mixing up the difference between a business ( which is generally not a separate corporate entity) with a Proprietary company which is always a seperate entity and may own property or may own a business.
NG is treated exactly like any other tax loss, it is claimable by the entity against other income.
Ie Qantas is a group of businesses. They can claim the losses of their international division against the profits of the frequent flyer program. Seperate businesses but owned by the same ultimate entity.
You cant drive a house, BUT you can always sleep in a car!
I understand it well. I also question why a 'business investment' like an IP which has losses can be offset against personal income, when company losses can not.
Legal personality. A natural person has legal personality. An artificial person, a company has legal personality.
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