Individuals Personal tax bracket changes - The top threshold of the 32.5% personal income tax bracket will increase from $87,000 to $90,000*. Introduction of the Low and Middle Income Tax Offset* providing a tax offset for those with taxable income of up to $125,333. GST on property developments and residential subdivisions – The way GST is collected on sales of newly constructed residential properties or new subdivisions will change from 1 July. Purchasers will be required t
You may be aware that there have been recent tax changes in relation to ‘foreign persons’ and ownership of residential property. Specifically, these changes can impact discretionary or family trusts with a single foreign beneficiary that hold or acquire residential property. The surcharges operate for stamp duty and land tax purposes in most states in Australia and can increase the cost of the transaction by between 3- 8% (stamp duty surcharges) or up to 2% per annum (land ta
Investment properties are a popular long-term wealth strategy for Australians, delivering both a regular income stream and an asset that should appreciate in value over time. One-fifth of people in the country had at least one investment property in 2016 – up from 17 per cent the previous year, according to ING DIRECT figures. But if you’re looking to join the ranks of Australia’s growing army of investment property owners, you’ll need to educate yourself on what deductions a
Often not understood by investors, the trusts laws vary by state with in Australia. This includes how land tax is assessed and applied. For example, a discretionary trust in NSW cannot access the land tax free threshold, but can in Queensland. We take a look at some of trust definitions in NSW and how they are treated by the NSW OSR for land tax purposes. For land tax purposes, trusts can be divided into six categories: special trusts fixed trusts superannuation trusts trusts
Although the Non Tax Resident (NTR) surcharge has been in place for little over a year now, we still get asked the question "How does this relate to me ?". So worthy of a blog i think ! The essence of the tax is that Foreign persons who own residential land in NSW must pay a surcharge of 2% from the 2018 land tax year on wards.
The surcharge applies on the taxable value of all residential land owned as at 31 December each year, including their principal place of residence.