Hi guys
I have a question regarding implications of being registered for GST and residential property investment. My work wants to transfer us from employees (turnover based) to contractors (turnover based at the same percentage as my current employment agreement) with ABN etc and I would have to register for GST. I am in a completely property unrelated employment and I do not currently own property apart from paying off our own home but am looking to invest soon. How does this affect my property puchases? My property related concerns are and these may not be correct assumptions
- GST on rent would have to be absorbed by me as it is input taxed and I could still only charge the same market rent
- GST would be payable by me on any investment properties I built or bought off the plan increasing costs 10%. What happens if I were then to sell this to someone registered for GST vs not registered for GST
- I would have to apply for Lo Doc?
What other concerns would there be with regards to this situation for residential property ? At the moment it all seems negative to me not just with regards to the property side of things!! Your help would be very much appreciated
Thanks
Josh
I have a question regarding implications of being registered for GST and residential property investment. My work wants to transfer us from employees (turnover based) to contractors (turnover based at the same percentage as my current employment agreement) with ABN etc and I would have to register for GST. I am in a completely property unrelated employment and I do not currently own property apart from paying off our own home but am looking to invest soon. How does this affect my property puchases? My property related concerns are and these may not be correct assumptions
- GST on rent would have to be absorbed by me as it is input taxed and I could still only charge the same market rent
- GST would be payable by me on any investment properties I built or bought off the plan increasing costs 10%. What happens if I were then to sell this to someone registered for GST vs not registered for GST
- I would have to apply for Lo Doc?
What other concerns would there be with regards to this situation for residential property ? At the moment it all seems negative to me not just with regards to the property side of things!! Your help would be very much appreciated
Thanks
Josh