There are a huge number of tax laws that may change this year as a result of the upcoming 2019 Federal Election.
Individuals could be affected by:
- Losing franking credit refunds to their Self-Managed Super Funds and to themselves
- Paying higher capital gains tax
- Losing tax benefits from negative gearing into investment property
Businesses could be affected by:
- Changes to the laws for loans from Companies (known as “Div 7A”)
- Discretionary Trusts (also known as “Family Trusts”) being taxed at 30% of their income
We’re not going to recommend who you vote for, but it’s important that you have an understanding of how these tax and other changes will affect you.
For the moment, we are recommending to our clients a “wait and see” approach before taking any specific action on any of these proposals. An election needs to be won and then legislation needs to be passed before new laws take effect.
But there may be some opportunities that open up soon to restructure your tax and wealth affairs to give you some significant tax benefits.
Over the next few months, we plan to send you a number of brief updates to keep you fully informed.
If you have any questions regarding this information, please be sure to contact The Garis Group office on 02 4969 4699 so we can help you build your beautiful financial future.
2019 is shaping up to be a very interesting year!
