A few weeks ago I received a questionnaire from the SRO. They said it was sent as a result of some data matching they had done with the ATO.
Now, I have always been open, honest and accurate with all my tax dealings and have been paying a around $2k worth of land tax each year so I had nothing to worry. I spoke with my Accountant about it, filled it out and sent it back.
Then, just last week, I opened a letter from the SRO and almost had a heart attack! I have just received 'adjusted' land tax bills going back 5 years showing that I owe around $12,000!
It says I am being penalised an additional 10% because I failed to notify the Commissioner of State Revenue that my last property purchase (where I live now) was purchased in a trust.
This is really strange to me as I've never notified the SRO of any of the other purchases I've made yet they know all of them.... not to mention I did pay them a whopping $25k of Stamp Duty (the countries highest rate, mind you!) when I bought the property - you think they'd also record the buyers name at the time then!
1. Who normally does this? It is your conveyancer / lawyer, accountant or nobody?
Has anyone else received letters like this? Another client of my accountant has just received a 30k bill! (no idea what their situation is though).
2. Also, they are telling my I cannot claim the PPR exemption for my PPOR in my Trust 'because we can see you are claiming rent on it'. Is this true? I do live in the property.
Now, I have always been open, honest and accurate with all my tax dealings and have been paying a around $2k worth of land tax each year so I had nothing to worry. I spoke with my Accountant about it, filled it out and sent it back.
Then, just last week, I opened a letter from the SRO and almost had a heart attack! I have just received 'adjusted' land tax bills going back 5 years showing that I owe around $12,000!
It says I am being penalised an additional 10% because I failed to notify the Commissioner of State Revenue that my last property purchase (where I live now) was purchased in a trust.
This is really strange to me as I've never notified the SRO of any of the other purchases I've made yet they know all of them.... not to mention I did pay them a whopping $25k of Stamp Duty (the countries highest rate, mind you!) when I bought the property - you think they'd also record the buyers name at the time then!
1. Who normally does this? It is your conveyancer / lawyer, accountant or nobody?
Has anyone else received letters like this? Another client of my accountant has just received a 30k bill! (no idea what their situation is though).
2. Also, they are telling my I cannot claim the PPR exemption for my PPOR in my Trust 'because we can see you are claiming rent on it'. Is this true? I do live in the property.