US Detroit

Accountant finalising numbers but somewhere between 30-40%

 

I am not criticising, just trying to learn. As I hope to one day be in the .001% too.

Your saying 40% CG profit in 6 years and then the CG is taxed at double the rate it is in Australia. Leaving you approx 3% pa net year on year capital profit.
These tax figures are based on my childrens tax rates who work in the USA and earn about $100-$300k USD working respectively as an entertainer and a chef.

Is that correct?

 

What...no

where did you get 40% CGT?? I have not paid CGT, you referring to me??
I talked about currency play AUD vs USD?
Did not talk about growth
Also there is 1031 exchange where you defer CGT
CGT I believe is 15%
There is a tax treaty with US and Oz, tax paid in US is credited to Australia

I am not a tax expert but from my experience tax favours investors in US, compared to taxes we pay in Australia

 

My mistake.

I now see the picture.

 

Yep because we need more #Tier2cities.

Until its just as cool to live in Nowra, Orange, Port Macquarie as it is Sydney, housing=expensive.

 

LTCG is a sliding scale based on income, most people are going to fall into 15% (the highest is 20% if you make over $420k in the filing year).
- 2018 Capital Gains Tax Rates — and How to Avoid a Big Bill - NerdWallet

And yes 1031 exchange is great for growing wealth......but capital gains still has to get paid eventually

 

If it's true that I can buy them for 30K and if it's true they are worth 80K - 85K, why wouldn't I just just buy them for 30K. sell them for 80K, over and over and over again? Why would I sell them for 33K , and make just 3K for all my hard work?

In my left hand I have 3K In my right hand I have 50K.

 

Can you please explain how this works @Dean Collins ?

 

We have similar cgt legislation is Australia with Government resumed property.

 

Of course, I recently sold 2 using 1031 exchange and purchased 6 properties with these funds, reinvesting no CGT, its a great investment tool. Love it, this program runs very well, its very slick, overseen by govt body

Wish we had this is Oz

It allows you to leverage your capital, time is money

If you end up just continually deferring then no CGT ever

 

What about when you die?
And are you keeping track of the liability?

 

Sorry but I guess we can be nice to each other,
Maybe you did not mean to say this in this tone I presume,

 

I'm not sure what you mean - it's a genuine question about the CGT deferral?
Do you think I'm threatening MTR???

 

Yes I have
My Australian Trust owns everything so goes to my nominated beneficiaries

 

Doesn't it have a vesting date?

 

.....perhaps I missed something???? I am no expert in this area

Fortunately still alive.... seriously though good you raise this.... its huge, important

Let me look at my Trust doc vested date???

Apparently cant exceed 80 years

 

Yes I could....but not any better than can be found online etc
Ask away after reading this - 1031 Exchanges Explained: The Ultimate Guide | CWS Capital

Just remember.....you have to pay these gains eventually.....it doesn't get rid of them (well unless you die).

 

Yes it will. Nice little fixer-uppers.
2-4 Empire Place, Wee Waa, NSW 2388
17 -19 Leichhardt Hwy, Wowan, Qld 4702
Lot 455 Ferral Street, Coober Pedy, SA 5723
41 Consols Road, Meekatharra, WA 6642
67 Jose Street, Mullewa, WA 6630

 

Hehe, maybe......but you DID say

You didn't clarify that you meant a CITY.