Questions regarding rental property

[wll6568]

I would like to know, if a rental property has loan on it, and is being rented out with cash received (e.g. rented to students, etc). Would ATO be able to find that out? What about if a rental property without loan?

 

[wally]

If the rent is being payed in cash then there is technically no way to track that transaction.

It doesnt matter whether there is a loan or not, but then you cant claim any expenses as this isnt an income producing investment. Interest on loan, maintenance, rates, water, strata.
What if someone dobs you in?
Or something happens causing damage, or someone hurts themselves? You probably arent going to be covered under any insurance.

 

[wll6568]

I thought so, but i heard different things. Some said the time when you bought it, you would have told bank it';s for investment purpose and bank and ATO have linkage, which ATO would know you bought an investment property for renting purpose and if you don't pay tax, they'd come to u asking u about it. Is this true?

 

[Empty Pockets]

why not make an honest living.

 

[wll6568]

why not make an honest living.

I pay tax for all my IPs but just I have seen a lot of people doing that, so I am just asking...

 

[Mry]

I am having a lot of difficulty finding a question in there. So you are concerned that if you tell the bank that you are buying a rental that the ATO will find out its a rental and audit you if you aren't declaring it?

I'm more interested in why this matters to you? You do realise that the ATO read this forum?

 

[Mark Xpnsit]

With all these things its much better to be upfront and honest, we all don't like paying taxs and would be rich if we didnt, be at somepoint it'll come back to bite. I understand you are just asking if it possible and not saying you would like to do it, but just incase some else is, I wouldnt advise it