Ask Mark Withers, director of Withers Tsang & Co questions relating to Tax and Asset Structures
Mark Withers and his team at Withers Tsang & Co specialise in advising on property related transactions, valuation and restructure services and tax planning.
I am new to property management and looking after a few properties that are owned by my friends. The total rental I receive on behalf of the landlords will be over $60,000 per year, but my service fee will be below $20,000 per year. Do I have to register for GST to run this business?
We are looking at purchasing our first investment property. We are mortgage free on our home but have been told by the bank that we need to put our home up as equity for the rental property. I have also heard that if you do this then you cannot get any tax breaks on the rental.
But we are very green with investment property and not sure how to structure our new purchase. Who should we talk to? What can we do ourselves? We would like to do this before we purchase the property in case we put it in the wrong name.
I migrated from the UK last year and became a New Zealand tax resident. I have a rental property in the UK. The UK rental property makes a loss (around NZ$4,000). I have heard that new migrants have four years' exemption for their overseas income. My question is that my overseas rental property is making loss, if I don't apply this four years exemption, can I claim the UK rental loss to offset my New Zealand income to reduce income tax liability here?