Can anyone recommend an accountant in inner Sydney?

Discussion in 'Accounting & Tax' started by Gomez, 29th Sep, 2017.

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  1. Gomez

    Gomez Member

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    I am about to start my first property development in QLD (though I am based in Sydney) through a company held inside a family trust.

    Can anyone here recommend an accountant who is experienced and across the specific issues such as:

    * Use of bucket/holding prop dev companies inside trusts
    * Avoiding Division 7A pitfalls when setting up loans between the trust, the development company and the interposed holding/bucket company
    * GST issues for prop dev, including when to apply margin scheme
    * Family trust election issues as the intent is to stream fully franked dividends and CGT discounts (where applicable) back to the benefiaciries of the trust,

    etc etc
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    [email protected] is not far from the city.

    If you want someone closer what about a lawyer?
     
  3. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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  4. Paul@PAS

    [email protected] Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    I would start with some good reading. Our developer toolkit explains most of the key tax issues and helps to aim for some educated questions

    CGT discount ?? IMO a structure that taxes income at the Corporate rate is probably a better consideration v's a trust as such and may avoid many limits with so called bucket company approaches which are equally high risk if not conducted well. Whether you seek to retain any may influence some aspects. QLD duties can also affect the ownership and care has to be taken. Another key factor will be finance and refinance plans.
     

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  5. Mike A

    Mike A Accountant Business Member

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    @[email protected] worth talking to.

    Not sure if you have acquired the land as yet.

    Having a company do the development with the shares held by a bucket company is a much better structure for the division 7a issues you discussed.

    Advantage of having the company do the development is that profits can then be paid out to the shareholder company protecting the retained earnings accumulated in company one. Then for your next development can use the shareholder company two to lend funds to another company.

    The disadvantage of having a trust is the division 7a issues you mentioned if a bucket company lends back to the development trust or another trust for a future development.

    You may be able to use the trust to company rollover provisions to change things.

    Anyway something to discuss with paul
     
    Last edited: 29th Sep, 2017
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  6. Gomez

    Gomez Member

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    Sydney
    Thank you all, very informative.
     

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