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Taxation Advice by Brokers

Discussion in 'Property Finance' started by albanga, 9th Jul, 2015.

  1. albanga

    albanga Well-Known Member

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    Just a general question but if brokers are not qualified to discuss taxation then how do you advise your clients the taxation benefits of certain structures? And investment fundamentals such as loan contamination.

    Or does it start with "Please seek correct taxation advice but......".
     
  2. tobe

    tobe Well-Known Member

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    Or, in my personal experience, xyz, but your experience might be different. Or for some people, abc, etc.

    It's hard actually, because a lot of accountants want to refer their clients to another lender/broker. So referring a client back to their accountant for advise sometimes means you lose the deal.
     
  3. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    I am qualified and licensed and give taxation advice in relation to deductability of interest to all loan clients - whether they like it or not (some don't like to know their interest is not deductible).

    I don't know what other brokers do but I have seen a lot of bad advice where someone (usually a bank person) has set things up wrong - sometimes they have said it will be (allegedly) ok to deduct when it is actually not ok.
     
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    pls seek specific advice ...........

    ta

    rolf
     
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  5. Paul@PFI

    Paul@PFI Tax Accounting + SMSF Business Member

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    Some of the better brokers are aware of problem situations and while they may not give advice they tell the client "check that with your tax person"..so a mistake isn't made. I see no issue with that form of general advice. And if its a obvious issue of fact I see no concern...eg : I want to borrow $ from my IP equity to buy a car. Its deductible right ?? NO.

    I cant say I hear or see too many brokers through PC/SS who go giving tax advice. If anything they know enough people to refer them directly and look after their client that way. There is more a risk of people reading posts on PC / SS and thinking they don't need personal advice. as they have read enough to know better.