Bloody ATO.
I just went to the bank, and spoke to my accountant.
Guess what, extra tax bill…
When mum made the decision, to disown my sister, she took legal steps.
By going the path of join tennants, mums property, rental property and bank account balance will transfer to me upon her passing, and are so excluded from the estate…it cant be contested.
Upside…no court case / assets frozen until resolution.
Downside… Mr ATO says, I must legally claim half of the income, and pay tax on it, at my marginal rate.
Even though ALL the money goes to Mum, i dont touch a cent of it, i still have to pay tax, on half the income.
So, probably close to 10k extra, to my own tax bill.
$9.5 k stage 3 tax cut, that would have been nice, i could have just handed it back to the ATO…but no, we’ll keep half of that…
The higher income earners fund so much of the tax income stream, one “high ender” , contributes nearly 5 times the tax of a average person…
And people resent high income earners, for working, studying sacrificing, and getting ahead…
No wonder people leave and work overseas, to get ahead…
Why get raped, and get nothing in return…