accountants

T

tj22

scenario Queensland
investment property set up for tax reasons
john has 10% legal ownership
jenny has 90% ownership

jenny is about to die.

can john take out a limited power of attorney of the property over jenny. so when she passes he controls the property with out having to reapply for 100% ownership which he'll have to pay stamp duty.

so he will be paying 100% of the loan and looking after everything after jenny dies. but is he aloud to claim 100% of the interest he pays for the loan? and other things related to the property or not because it'll still show he only has 10% ownership and jenny will still have 90% but she will be deceased.
 
This is a tenants in common in unequal shares arrangement. Jenny can leave her share to anyone - John or another. There is no stamp duty on a transfer from the deceased to a legal personal rep or a legal personal rep to a beneficiary.

A POA has no effect on who can claim the interest.
 
Terry_w said:
This is a tenants in common in unequal shares arrangement. Jenny can leave her share to anyone - John or another. There is no stamp duty on a transfer from the deceased to a legal personal rep or a legal personal rep to a beneficiary.

A POA has no effect on who can claim the interest.
Click to expand...

i'm confused as you can tell haha

i thought there would be stamp duty payable because there is transfer of ownership? :S

and yes it is tenants in common.
 
Terry_w said:
This is a tenants in common in unequal shares arrangement. Jenny can leave her share to anyone - John or another. There is no stamp duty on a transfer from the deceased to a legal personal rep or a legal personal rep to a beneficiary.

A POA has no effect on who can claim the interest.
Click to expand...

i thought only joint tenancy could get stamp duty exemption in queensland.
i didn't think tenants in common could get a exemption

i'm not a lawyer i don't know the laws..
 
My understanding is that a general exemption for stamp duty applies on properties being transferred to beneficiaries pursuant to the terms of a Will.

In this case John will acquire the 90% from Jenny with her cost base. for future CGT calculations.

Loans is another issue that will involve obvious discussions with the bank.
 
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