A CGT Is No Show Stopper For Investors

September 15, 2014

Tips & Ideas

Property Investors who are buying property and selling for a profit are known as Property Traders and their property deals incur a Capital Gains Tax.

Property Investors who buy property and hold on to it – renting it out usually for years sometime decades do not pay Capital Gains Tax.

The interesting point here is Trading is becoming more popular. PropertyTutors Limited are a fast growing property investment mentoring business. Their mentoring program The Masters is in high demand. PropertyTutors owner Sean Wood says:

PropertyTutors is growing and thankfully we are accommodating the high demand for our mentoring programs. We’ve worked hard on our systems and processes over the years and while most who are in our mentoring programs would pay CGT – they are making a healthy profit too hence their continued focus on this strategy.”

So what is all the fuss about? National are not keen on implementing a far reaching CGT and they are a shoe-in to secure another term in Government. The talk of CGT has been going on for years. It was a pivotal topic back in 2006 – eight years later in 2014 and it has probably not gained any more momentum in fact arguably it has hurt Labour.

The recent poll results published by stuff.co.nz suggest Labour have dropped back and National should have enough seats to govern alone.

So is the CGT really the wrong policy for Labour to focus on? Arguably it is – for starters it hasn’t done David Cunliffe any favours so far. The introduction of a far reaching CGT will be complex and if after eight years Labour don’t know it’s make up then it’s flaky at best and the polling suggests the public think so too.

, , , ,

About Property Tutors

“PropertyTutors Limited believes the information in this publication is correct, and it has reasonable grounds for any opinion or recommendation found within this publication on the date of this publication. However, no liability is accepted for any loss or damage incurred by any person as a result of any error in any information, opinion or recommendation in this publication. Nothing in this publication is, or should be taken as, an offer, invitation or recommendation to buy, sell or retain any investment in or make any deposit with any person. The information contained in this publication is general in nature. It may not be relevant to individual circumstances. Before making any investment, insurance or other financial decisions, you should consult a professional financial adviser. This publication is for the use of persons in New Zealand only. Copyright in this publication is owned by PropertyTutors Limited. You must not reproduce or distribute content from this publication or any part of it without prior permission.”

View all posts by Property Tutors