Ask Nick Ashford of Withers Tsang & Co questions relating to Tax and Asset Structures
Nick Ashford and his team at Withers Tsang & Co specialise in advising on property related transactions, valuation and restructure services and tax planning.
I bought my family home in Auckland three years ago. Under the new Unitary Plan I would like to build three houses on the 700 m2 section. My intention is to keep one house for myself and sell the other two properties. Would I be paying tax on the profit I make by selling the other two properties?
I am about to transfer my property to a company and rent a property somewhere else. The rental income is slightly more than the interest charged on the mortgage. Will the difference be taxed as separate income and will I be able to claim anything on the house I am going to rent in?
Our rental properties are in a look through company (LTC) company where my husband has 99% shares and I have 1% share holding. This is so we can write off any losses against my husband's income as he is the top wage earner.
However, my husband may stop working soon. This would make me the only income earner so it makes sense to for us to change the shares to me 99% and my husband to 1% . Can this be done ? Are there tax penalties for doing this ?