Parental Property transfer to Children

Discussion in 'Accounting & Tax' started by hvdw87, 12th Sep, 2020.

Join Australia's most dynamic and respected property investment community
  1. hvdw87

    hvdw87 Well-Known Member

    Joined:
    27th Feb, 2019
    Posts:
    197
    Location:
    Royal Melbourne Golf Club
    Hi all,

    I have a completely hypothetical situation that I would be keen to get some thoughts on.

    Parent owns (in personal name) and wants sell 2 properties. Property 1 is their current PPOR but until a few years ago was an IP. Property 2 is an empty block of land purchased a couple of years ago with the intent of building a PPOR on it.

    One of their children is in the accumulation phase of the investment journey. Subject to financing, are their possible tax structures/transfer techniques that could be investigated to minimise CGT and/or other taxes?

    Thoughts appreciated.
     
  2. Terry_w

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

    Joined:
    18th Jun, 2015
    Posts:
    41,667
    Location:
    Australia wide
    only death can avoid CGT and probably duty too - assuming parent was not acting as trustee
     
    Paul@PAS likes this.
  3. hvdw87

    hvdw87 Well-Known Member

    Joined:
    27th Feb, 2019
    Posts:
    197
    Location:
    Royal Melbourne Golf Club
    Thanks Terry
     
    Terry_w likes this.