How would State Govt. find out if PPOR is IP.

[LeeJ]

Thinking of buying a long term IP in QLD as a PPOR to save many $s in Stamp Duty and staying there for say 3 to 6 months then renting. How does a state Govt. find out if income has been earned on a property?

 

[Simon]

If you stay there for 6 months, starting within the first 12 months then you are OK.

If you stay for less you need to repay the FHOG.

To do otherwise is fraud.

 

[alexlee]

Maybe they share information with the ATO.

 

[coastymike]

Lee

many ways.

1. bank statements will show credits to the account if paid by the tenants to your account.
2. if you start claiming the PPOR as an investment property then OSR can match information provided on your tax return to determine whether you were eligible for the stamp duty concessions.
3. looking at other records such as drivers license details changed, changes to electoral role, electricity records, etc. Electricity is a big one. If you are paying the electricity bill then easier to argue that it is your PPOR. If someone else is paying the electricity bill then OSR may ask why. Dates of changes from your account to another persons account change be used to determine when property was moved into and out of. Telephone records are another one.

The tenants will likely change their details e.g. change their drivers license, electricity, telephone records etc and this can then be matched to an address. if there are duplicates then questions can be asked.

 

[LeeJ]

If you stay there for 6 months, starting within the first 12 months then you are OK.

If you stay for less you need to repay the FHOG.

To do otherwise is fraud.

Hi Simon,

I am talking about Stamp Duty on IP vs PPOR, not FHOG.

 

[LeeJ]

I do understand how OSR can *prove* you are renting it out.
I was not asking that - sorry for ambiguity.

My main thrust I guess is "how/what/who/why might *trigger* a 'please explain' notice from them".

eg data matching from ATO when expenses claim put in with tax return.

Does anyone here *really* know how it works in detail.

 

[Terryw]

The OSR also do ramdom audits of FHOG receivers. They will send a letter out and request proof that the person has lived in the property. Then you would have to supply electicity bills, phone bills etc.

 

[cancan]

Not meaning to hijack this thread.
But if you bought the place and it is a PPOR, but it's a 5br house. So you share the other 4 br for a family and receiving rent from them. Would you be eligble for the fhog ?

 

[MattR]

An obvious way a State gov't finds out a house is being used for Income producing purposes is when the land owner registers for Land Tax and they don't claim the PPOR exemption.

 

[willy1111]

Not meaning to hijack this thread.
But if you bought the place and it is a PPOR, but it's a 5br house. So you share the other 4 br for a family and receiving rent from them. Would you be eligble for the fhog ?

Cancan - I'm in Vic and similar situation - SRO advised that as long as you live in the property you are eligible for the FHOG - they don't care if you receive income from the property.

But I would suggest you make your own enquiries