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Granny Flat

Discussion in 'General Investing Discussion' started by Insights, 21st Jan, 2011.

  1. Insights

    Insights New Member

    Joined:
    21st Jan, 2011
    Posts:
    2
    Location:
    Brisbane, QLD
    Hi
    We are looking for advise regarding granny flats. We are considering building a granny flat on our daughters 10 acre block. When completed they are going to build their house in front of it. We are paying for our own construction and they are paying for theirs. We do not have to pay them rent.
    We are retired and are self funded so do not need to worry about centre link implications but are wondering if we would have to pay any tax to ATO. We intend to stay their for life but if ever the property is sold my daughter will pay us back our money or build us another one somewhere else.

    Also will my daughter have to pay any tax to ATO at any stage?

    Many thanks
     
  2. Jacque

    Jacque Team InvestEd

    Joined:
    16th Jun, 2005
    Posts:
    1,885
    Location:
    Sydney
    Hi Insights

    This is really one for your accountant as it can become complicated with capital gains. Sounds lovely that you're all going to be close together, albeit on 10 acres. Best of luck with it all and enjoy!
     
  3. Insights

    Insights New Member

    Joined:
    21st Jan, 2011
    Posts:
    2
    Location:
    Brisbane, QLD
    Thank you so much for your feed back. Have a great weekend