Property, land and business sales
The question nobody asks before you sell
Five accountants had looked at a $40 million sale. Not one of them asked the owner what he had done with the land.
That one question saved him about ten million dollars. It is not a clever trick. It is a question we ask everybody, and most people selling a property have never been asked it.
We have put the rest of the list together for you. Three quick questions first, to see whether any of it applies to you.
Step 1 of 2
First, does any of this apply to you?
Three questions. If the answer is no, you will know in about fifteen seconds and nobody’s time is wasted.
Question 1
Are you thinking about selling a property, land, premises or a business in the next two years?
Includes a block you have not built on, a farm, a shop you trade from, or the business itself.
Question 2
Have you spoken to anyone about the tax on that sale yet?
Your accountant, a lawyer, anybody. We are asking whether somebody has actually worked out a number, not whether it has crossed your mind.
Question 3
Is it something other than the home you have always lived in?
An investment property, a holiday house, land, premises, or a home that has been rented out, subdivided, or used for a business at some point.
Then this one is probably not for you, and that is a fine answer.
Nothing here is urgent if there is no sale in sight. Keep the page. The questions do not change, and the two years before a sale is when they are worth asking.
Worth ten minutes, then.
You are thinking about selling and nobody has worked out the tax yet. That is exactly the gap this list is for, and it is the point where the answers are still worth something.
Somebody has looked at the tax already, which puts you ahead of most people. The list is still worth ten minutes, because the question at number six is the one that gets missed even by people who have had advice.
One thing. You said it is the home you have always lived in, and most of the time that is exempt. Most of the time. If you ever rented out a room, ran a business from it, subdivided the block or built a second dwelling, part of the gain can still be taxable. Number six is the one to read.
Step 2 of 2
Get your checklist
Your checklist is on the next page, ready to download.
We ask for your phone number because Darren or Frank may call you in the next day or so to talk through your situation. No cost and no obligation.