RaceCafe..#1...Tipsters Thread.... Share Your Fancies For Fun...Lets See Who The Best Tipsters Here Are.
Black Kirrama

: DONT Vote Labour : Hickman /Brendon Lindsay wont

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36 minutes ago, TOM(the other Molloy) said:

We will take your first line Insider. 'I don't believe they will ever apply capital gains tax to a non TAXABLE activity'.

Now you have had it pointed out to you at least twice in this thread that residential rentals are a non taxable activity.  So are you saying that CGT will not apply to the rental property?

Shall I go on?

 

Tom, I now then bow to your superior knowledge.  

I presumed that everyone operating a business who makes a profit, paid tax on that profit!

 

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Dead right Barry. His bullshit denials over the Glenn donation, always teasing that he has the inside oil on some scandal and with the benefit/pension issue all he had to do was release the copy of his application. If it was a WINZ F/U then why did he pay refund plus penalties? Pretty simple answer to that I would have thought. So all in all he has been a curiosity for a while but now it's time he was outed as the political bludger he is.

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6 hours ago, TOM(the other Molloy) said:

We will take your first line Insider. 'I don't believe they will ever apply capital gains tax to a non TAXABLE activity'.

Now you have had it pointed out to you at least twice in this thread that residential rentals are a non taxable activity.  So are you saying that CGT will not apply to the rental property?

You seem to be confusing income tax and GST. In my world all rental properties are included in the tax grab unless they run at a loss - oh they run at a loss = less tax, no CGT on the realised gain when sold, what a fair system we have, not.

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4 hours ago, Peter R S said:

You seem to be confusing income tax and GST. In my world all rental properties are included in the tax grab unless they run at a loss - oh they run at a loss = less tax, no CGT on the realised gain when sold, what a fair system we have, not.

Investment properties bought and then sold within two years are subject to CGT are they not?

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38 minutes ago, dock leaf said:

Investment properties bought and then sold within two years are subject to CGT are they not?

Quite right!

Property sales tax rules When you sell a property you need to work out if any profit you make is taxable. You can use a number of tests to work out if your property sale is taxable. Property sales may be taxable if: • the property was acquired with a purpose or intention of selling it • you're in or associated with the property industry • you have a history of buying and selling property. A new test (the "bright-line test" for residential property) has been introduced for property acquired on or after 1 October 2015. Taxable property sales may include residential property sold or disposed of within two years of buying, even if there was no intention of resale.

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48 minutes ago, dock leaf said:

Investment properties bought and then sold within two years are subject to CGT are they not?

Yes, but the investors hold on to them much longer than that to capitalise on the tax free capital gain at the expense of every young person in this country. 

CALL THAT FAIR? 

I Fu.....i'n don't. 

If you agree, make your vote count on Saturday otherwise NZ will have a catastrophe on its hands going forward, especially for the young.

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20 minutes ago, Peter R S said:

Quite right!

Property sales tax rules When you sell a property you need to work out if any profit you make is taxable. You can use a number of tests to work out if your property sale is taxable. Property sales may be taxable if: • the property was acquired with a purpose or intention of selling it • you're in or associated with the property industry • you have a history of buying and selling property. A new test (the "bright-line test" for residential property) has been introduced for property acquired on or after 1 October 2015. Taxable property sales may include residential property sold or disposed of within two years of buying, even if there was no intention of resale.

So that covers pretty much everybody Jacinda is complaining about as being tax dodgers, eg flippers flippin 4 houses a year. She's not quite telling the truth is she

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12 minutes ago, Insider said:

Yes, but the investors hold on to them much longer than that to capitalise on the tax free capital gain at the expense of every young person in this country. 

CALL THAT FAIR? 

I Fu.....i'n don't. 

If you agree, make your vote count on Saturday otherwise NZ will have a catastrophe on its hands going forward, especially for the young.

I read this one today, it's getting off topic a bit but it is an example of a young person working hard to own property.

Submitted to Stuff:
I am an Evil Property Investor
Like most twenty-somethings, I went on my OE. While there, I did everything on a shoestring. I never took taxis if I could help it – I walked or took buses - to the point of being at night in places no lone female should be. When I travelled, I went via budget airlines, slept in dingy accommodation and ate street food. All so I could send as much money home as I could. This went towards paying off my student loan and buying my first home.
It was a rundown, 100-year old workers’ cottage in a humble neighbourhood in Christchurch. Several years later I had renovated and paid off enough so that when I sold, I was able to buy a two-bedroomed flat in Auckland. Unfortunately, I bought badly and I did not get the capital gains enjoyed by other home owners at that time.
Last year, I was able to borrow against my flat to get an extremely rundown deceased estate in a provincial town. It was three hours’ drive away and had been on the market for 18 months. For nearly a year, I put all of my time, energy and money into that house. During the week, I worked two jobs. On Friday evenings, I drove down and spent the weekend demolishing, filling skips, mowing lawns, patching holes, gibbing, gib stopping, sanding, painting, polishing, ripping up carpets/vinyls/tiles, weeding, waterblasting, tiling, assembling kitchen cabinets, landscaping, fitting mouldings, crawling under the house, installing insulation, making and hanging curtains and blinds, pulling up carpet tacks, trimming hedges etc., etc., before driving back to Auckland, arriving at 10-11pm on Sunday night, ready for the next working week.
I slept at the house, on an air bed, with no kitchen to prepare healthy food in, over a freezing winter with no ceiling in the main part of the house, showering in a bathroom with no door and missing 1/3 of its walls.
Every penny I had went towards paying the mortgage, renovation materials and tradies for the jobs I couldn’t do myself. So putting money into the local economy. I had no life for a year. No going out to have fun, no holidays, no nothing. My health suffered. The stress was incredible as a few times, due to delays, I thought that I was going to lose it all, as my ability to keep paying the mortgage was going to finish before the house was habitable. For the sake of about $5000, I thought I was going to end up at a mortgagee auction.
Yet I found a way to push through it and although it’s still not finished (a few more of those weekend trips to go) I got the house into a state where it could start earning money and paying for itself. This year, it will start turning a profit and I will start paying tax on those earnings. Yes, rental income IS taxable.
Much of the public seem to think that because I am a property investor, I have wads of cash for designer goods that I, being evil and greedy, have practically stolen from hardworking Kiwis and that I drive around in a BMW. Actually, I make much of my own clothing, grow fruit and vegetables and drive a 1994 Toyota. I have no Sky or Netflix, no unlimited broadband, no smartphone and do not rush out to buy gadgets I don’t really need. I have an investment property because I SACRIFICED and live FRUGALLY.
And I am hardly unique. The bulk of investors in NZ are like me and only have 1-2 properties. Many of them have bought run-down properties that they have renovated with their own two hands, to provide tenants with a modern, comfortable home. Most are quite humble and simply want to provide for their retirement. Buy a doer-upper is a classic investor strategy to make money, known as ‘adding value’.
I took an unwanted, dilapidated mess of a house and turned it onto something that will contribute to the economy. I literally put blood, sweat and tears into it. And you know what? I DESERVE the fruits of it. I have more than EARNED any profits from it.
Yet according to Labour’s socialist agenda, I am over privileged, born with a silver spoon in my mouth, and I should give a good chunk of what I have achieved, to those who have done nothing to earn it. They weren’t there when I was shivering in that open shower, putting the umpteenth barrowload of rubbish into the skip or wondering how I was going to pay the electrician’s bill. They say that decent, hardworking Kiwis deserve their fair share. Well I AM a decent, hardworking Kiwi and this IS my fair share because I put so much hard graft into it. I created an income-producing asset that will be paying into the tax pool from the earnings from it, for many years to come. How is that not paying my fair share?

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3 minutes ago, hesi said:

She didn't say 4 houses a year, just flipping over 4 houses.

The Nats introduced the 2 year bright line test for CGT, but that doesn't catch a reseller outside 2 years.  Labour propose to extend it to 5 years

Thanks Hesi, I just assumed she meant 4 houses per year, and I know what they say about assumption. I wonder if it will be a 5 year bright-line for farms as well? Cheers.

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24 minutes ago, hesi said:

Totally agree, this housing affordability issue is going to do a lot of social damage to the country, especially with the tenancy situation we have.  Lots of 'amateur' investors, who are in it for the lump sum gain, because that is what they have been sold, get someone else to pay your mortgage for 25 years, after that you have a mortgage free asset to sell for your retirement.

Put yourself in the position of many young 'middle NZ' families, especially in Auckland.  Their own home has become beyond reach, renting they can be evicted in 42 days if the landlord wants to move in, or evicted in 90 days without any reason needing to be given by law.

How would you like to live your life with that sort of unsurety, especially if you are a young family, not to mention the stress of then having to find a new place, preferably in the same area to maintain continuity of things like schooling  for the children

Sadly the facts going forward if we want more of the same. 

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38 minutes ago, dock leaf said:

I read this one today, it's getting off topic a bit but it is an example of a young person working hard to own property.

Submitted to Stuff:
I am an Evil Property Investor
Like most twenty-somethings, I went on my OE. While there, I did everything on a shoestring. I never took taxis if I could help it – I walked or took buses - to the point of being at night in places no lone female should be. When I travelled, I went via budget airlines, slept in dingy accommodation and ate street food. All so I could send as much money home as I could. This went towards paying off my student loan and buying my first home.
It was a rundown, 100-year old workers’ cottage in a humble neighbourhood in Christchurch. Several years later I had renovated and paid off enough so that when I sold, I was able to buy a two-bedroomed flat in Auckland. Unfortunately, I bought badly and I did not get the capital gains enjoyed by other home owners at that time.
Last year, I was able to borrow against my flat to get an extremely rundown deceased estate in a provincial town. It was three hours’ drive away and had been on the market for 18 months. For nearly a year, I put all of my time, energy and money into that house. During the week, I worked two jobs. On Friday evenings, I drove down and spent the weekend demolishing, filling skips, mowing lawns, patching holes, gibbing, gib stopping, sanding, painting, polishing, ripping up carpets/vinyls/tiles, weeding, waterblasting, tiling, assembling kitchen cabinets, landscaping, fitting mouldings, crawling under the house, installing insulation, making and hanging curtains and blinds, pulling up carpet tacks, trimming hedges etc., etc., before driving back to Auckland, arriving at 10-11pm on Sunday night, ready for the next working week.
I slept at the house, on an air bed, with no kitchen to prepare healthy food in, over a freezing winter with no ceiling in the main part of the house, showering in a bathroom with no door and missing 1/3 of its walls.
Every penny I had went towards paying the mortgage, renovation materials and tradies for the jobs I couldn’t do myself. So putting money into the local economy. I had no life for a year. No going out to have fun, no holidays, no nothing. My health suffered. The stress was incredible as a few times, due to delays, I thought that I was going to lose it all, as my ability to keep paying the mortgage was going to finish before the house was habitable. For the sake of about $5000, I thought I was going to end up at a mortgagee auction.
Yet I found a way to push through it and although it’s still not finished (a few more of those weekend trips to go) I got the house into a state where it could start earning money and paying for itself. This year, it will start turning a profit and I will start paying tax on those earnings. Yes, rental income IS taxable.
Much of the public seem to think that because I am a property investor, I have wads of cash for designer goods that I, being evil and greedy, have practically stolen from hardworking Kiwis and that I drive around in a BMW. Actually, I make much of my own clothing, grow fruit and vegetables and drive a 1994 Toyota. I have no Sky or Netflix, no unlimited broadband, no smartphone and do not rush out to buy gadgets I don’t really need. I have an investment property because I SACRIFICED and live FRUGALLY.
And I am hardly unique. The bulk of investors in NZ are like me and only have 1-2 properties. Many of them have bought run-down properties that they have renovated with their own two hands, to provide tenants with a modern, comfortable home. Most are quite humble and simply want to provide for their retirement. Buy a doer-upper is a classic investor strategy to make money, known as ‘adding value’.
I took an unwanted, dilapidated mess of a house and turned it onto something that will contribute to the economy. I literally put blood, sweat and tears into it. And you know what? I DESERVE the fruits of it. I have more than EARNED any profits from it.
Yet according to Labour’s socialist agenda, I am over privileged, born with a silver spoon in my mouth, and I should give a good chunk of what I have achieved, to those who have done nothing to earn it. They weren’t there when I was shivering in that open shower, putting the umpteenth barrowload of rubbish into the skip or wondering how I was going to pay the electrician’s bill. They say that decent, hardworking Kiwis deserve their fair share. Well I AM a decent, hardworking Kiwi and this IS my fair share because I put so much hard graft into it. I created an income-producing asset that will be paying into the tax pool from the earnings from it, for many years to come. How is that not paying my fair share?

Well done young person. A bit of advice though. You obviously need a new accountant as owning a property isn't a taxable activity!

Call up Tom, the other Molloy down in Greymouth as he has a different point of view, so when you do start making some profit it will all be tax free.

In the meantime, congratulations on all you have accomplished both overseas and now back home. It will certainly hold you in good steed going forward. 

P. S. Dock Leaf, thank you for posting the story. 

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Interest rates have been at historical low levels for a while now, come Sunday week & the country has elected Lab/Greens watch the wind move out of the Economic sail & the dollar drop.

Its a serious worry that Jacinda has created a vote for change for no other reason than change, a change from what?. One of the best periods of economic & infrastructural development in the countries history, whilst juggling the GFC & massive economically crippling EQ's, yet we are in surplus and finally looking to reward everyone with tax cuts.

Labour's response is to kill incentive with taxes & create a catch phrase of "Let's do this" with zero maps of how she's going to do it or even what or when.  The scary prospect of what concessions will they allow to the Greens with some of the loons in that team.

This thankfully will be a 3yr failed experiment and with luck we will come out of it with minor damage.

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12 hours ago, Insider said:

Well done young person. A bit of advice though. You obviously need a new accountant as owning a property isn't a taxable activity!

Call up Tom, the other Molloy down in Greymouth as he has a different point of view, so when you do start making some profit it will all be tax free.

In the meantime, congratulations on all you have accomplished both overseas and now back home. It will certainly hold you in good steed going forward. 

P. S. Dock Leaf, thank you for posting the story. 

C'mon Liz, anything you undertake that's intended to make a profit is taxable, even punting.

Why don't you accept the truth, the reality and the facts ? You lefties ( and other losers ) always want to twist the facts to fit your warped agenda.

Now I understand you're in the art market, and I'm told ( by you ) that you're a seasoned pro with considerable knowledge, so I'm presuming you're making money out of art or activities associated with art, and if you are you're paying tax on your profits.

That's how the world works, those who excel pay more tax because they're good at something, the rest of you just whinge and moan, you sob "gimme, gimme, gimme" every three years, and you want the fruits of other's endeavours redistributed in your favour because you can't get off your lard arses and show some initiative or do a bit of hard work.

BTW there's a reason Jacinda has 97% of her photo opportunities at schools, poytechs and universities, it's because she preys on dumb, naive and gullible kids who have no sense of economic reality, she sells dreams to the idealists who live in a fantasy land, those who think Mummy and Daddy will provide for them forever, and that when you run out of money you just go to the bank and get one of those plastic cards.. Are you still a part of that group Liz even though you're a gold card recipient now :) ?

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