SMSF Acquisition from Self

[TheShuffler]

Hi - any idea if we set up a SMSF, can it 'buy' one of our IP properties we already own? And if so, any upside / downside?

Thanks

 

[coastymike]

If you hold it in a unit trust the transfer is possible. If in your own name or in a discretionary/hybrid trust then no you cannot.

 

[TheShuffler]

why is that? is it because you would pay double duty?

 

[BV]

Hi - any idea if we set up a SMSF, can it 'buy' one of our IP properties we already own? And if so, any upside / downside?

Thanks

If it is a commercial IP you can

 

[Terryw]

You can still do it if it is residential.

You just have to (or may) do a bit of gaol time.

 

[wobbycarly]

Some Q&A here

In short, the SMSF cannot purchase a residential property from a related party.

 

[coastymike]

unless the residential property was held in a unit trust. but needs to be done correctly.

 

[TheShuffler]

Thanks all - thank link Wobbycarly was very helpful. I was hoping to free up some capital however keep the IP - may have to sell it then buy another instead.