confusing letter (and invoice) from ATO

[Mez]

Thanks bene313,

I definitley will sit down and check this out with my accountant. In no way do I want to do the wrong thing, not my cup of tea at all, nor do I want to end up with a huge tax bill for overlooking the circumstances!

I did ask him a hundred times over if this method was okay, and he assured me a hunded times over it was. He also mentioned something about different amounts being redrawn and invested? I can't remember to be honest, but yes I will sit down and discuss with him.

The only thing I can think of is that somehow our situation fits within the two exception categories mentioned....it is confusing me just trying to read all of this accounting speak!

I am going to email the link with this legislation to my accountant and let you know what he comes back with...and will come back and let you know!

thanks guys

 

[marg4000]

Mez, once you sell the asset the loan used to purchase it is no longer deductible.

Otherwise we would all buy an IP, sell it and use the money to buy a PPOR and still claim the interest.
Marg

 

[Mez]

I have sent the link to my accountant - will let you know what he says!

thanks again

 

[The Y-man]

Mez,

Tend to agree with the others.
Different issue I think if you sell down a portion of your share holdings, retaining in shares the original amount drawn down in the market (i.e. you sold off your gains).


The Y-man