Pray tell me how I am doing it wrong? How should I be doing it? If I sell a property within 5 years of purchase I pay tax on it. If I am in the business of buying and selling properties I pay tax on the profit irrespective of how long I hold them.
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Inequalities and widening inequalities do cause some of the problems in society. What is adequate housing today? A simple hut or relative’s garage that keeps you dry? Or a brick and tile house with independent power supply, filter systems, underfloor insulation, double glazing, central heating and air conditioning, moisture extraction two inside bathrooms, bidet, and shower, a fast fibre connection. It is so much easier for the children in households with the latest and best to stay in top condition, have access to opportunities and to have the option to take advantage of them.
If selling properties 'every couple of months or so', then that is a taxable activity. If you're an investor in real estate you pay tax on rental profit.
GST is not known as sales tax. It is a tax paid by any GST registered person. The sales total, while used in the calculation is not the figure GST is paid on. From sales or income a registered person deducts costs and purchases etc, and pays on that figure. i.e. the profit.
I get the distinct impression you are one of those snivelling small-minded sad-sacks who spends your life worrying that under every rock is someone doing better than you. Well if so, it's because they are more deserving than you, boosted largely by a positive attitude.
If you are an investor in residential real estate then you can pay income tax at marginal rate on capital gain. Bright line test. Note residential rentals only. Then there is the intention test as well.
There is an increasing number of gotchas in relation to rentals. Some have sold up or not added to portfolios, others owners might well be waiting for the 5 year mark to sell, or until the carried forward rental losses have been used up.
Could be a rental shortage now or coming up. There is already a shortage for even slightly risky tenants, as witness the skyrocketing social housing waiting list. And net migration is also rising fast.
Just an opinion piece, but relevant to the discussion. Not sure what you call it when a journalist is providing an opinion piece.
https://www.stuff.co.nz/national/pol...talk-about-why
Yep the Asset bubbles make the baby boomer rich richer.
There is no sense behind taxing every last cent of income (including all gains from money lent to businesses) yet leaving most of the gains from Leveraged investment housing and all the gains Owner-occupation untaxed. Residential Real estate bubbles are encouraged.