Hi Geoff. It's true landlords can't charge GST and therefore offset GST paid against it. My point is that income from wages is taxed 'twice' via income tax and then GST when it is spent. Landlords don't pay capital gains tax in any unrealised or regular way, and not currently at all if they sell after five years. Only taxed 'once' when t…
Hi Geoff. It's true landlords can't charge GST and therefore offset GST paid against it. My point is that income from wages is taxed 'twice' via income tax and then GST when it is spent. Landlords don't pay capital gains tax in any unrealised or regular way, and not currently at all if they sell after five years. Only taxed 'once' when they spend. Although the surplus can also be recycled into more property untaxed, rather than spent.
And yes I am a landlord and rent out the house we used to live before we moved into the CBD to live in an apartment. I have decided to 'join 'em, if I can't beat 'em'. cheers
Hi Geoff. It's true landlords can't charge GST and therefore offset GST paid against it. My point is that income from wages is taxed 'twice' via income tax and then GST when it is spent. Landlords don't pay capital gains tax in any unrealised or regular way, and not currently at all if they sell after five years. Only taxed 'once' when they spend. Although the surplus can also be recycled into more property untaxed, rather than spent.
cheers
And yes I am a landlord and rent out the house we used to live before we moved into the CBD to live in an apartment. I have decided to 'join 'em, if I can't beat 'em'. cheers
True, but this applies to any asset that increases in value with time including the family home.