Australian Politics Forum - If they are hell bent on keeping negative gearing.

freediver

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Re: If they are hell bent on keeping negative gearing.
Reply #180 - Jun 29^th, 2023 at 5:55pm

Bam wrote on Jun 29^th, 2023 at 9:11am:

freediver wrote on Jun 29^th, 2023 at 8:10am:

Quote:

Some properties where negative gearing is claimed are used as Airbnbs and other short-term rentals. This is an abuse of negative gearing.

Why do you think that?

Negative gearing is supposed to be used to encourage investment in the private rental market.

What makes you think that?

Quote:

Are you suggesting that negative gearing should be accessible for all short-stay accommodation including hotels and motels?

It should and does apply to all investment and business activity. You get the same treatment if you borrow money to buy shares or set up a dry cleaning shop.

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Bam

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Re: If they are hell bent on keeping negative gearing.
Reply #181 - Jun 29^th, 2023 at 6:43pm

freediver wrote on Jun 29^th, 2023 at 5:55pm:

Bam wrote on Jun 29^th, 2023 at 9:11am:

Are you suggesting that negative gearing should be accessible for all short-stay accommodation including hotels and motels?

It should and does apply to all investment and business activity.

Why should taxpayers subsidise other people's get rich schemes? Why is it acceptable for losses to be claimed in full but the gains to be taxed only half?

Why is it acceptable for rich people to buy up existing homes to leave them empty on purpose or turn them into Airbnbs for other rich people when tents are going up in parks because people can't find anywhere to live?

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You are not entitled to your opinion. You are only entitled to hold opinions that you can defend through sound, reasoned argument.

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freediver

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Re: If they are hell bent on keeping negative gearing.
Reply #182 - Jun 29^th, 2023 at 7:57pm

Bam wrote on Jun 29^th, 2023 at 6:43pm:

freediver wrote on Jun 29^th, 2023 at 5:55pm:

Bam wrote on Jun 29^th, 2023 at 9:11am:

Are you suggesting that negative gearing should be accessible for all short-stay accommodation including hotels and motels?

It should and does apply to all investment and business activity.

Why should taxpayers subsidise other people's get rich schemes?

It's not a subsidy, any more than a tax free income tax threshhold is a subsidy for laziness. Do you have any real questions, or are you going to spend all your time asking me to explain your meaningless spin?

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People who can't distinguish between etymology and entomology bug me in ways I cannot put into words.

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Jovial Monk Gold Member Offline Dogs not cats! Posts: 51474 Gender:	Re: If they are hell bent on keeping negative gearing. Reply #183 - Jun 30^th, 2023 at 5:47am Of course it is a subsidy. NG reduces the investor’s—some yuppy no doubt—income tax then later he sells it and pays bugger all tax. And all he does is buy and sell an existing dwelling. He may not even rent it out.
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freediver Gold Member Offline www.ozpolitic.com Posts: 53405 At my desk.	Re: If they are hell bent on keeping negative gearing. Reply #184 - Jun 30^th, 2023 at 5:49am Hey Monk, do you think it is a good idea for the tax department to send people bankrupt by giving them a huge tax bill in a year in which they actually lose money?
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Jovial Monk

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Re: If they are hell bent on keeping negative gearing.
Reply #185 - Jun 30^th, 2023 at 6:00am

Do you think, FD, that tax payers should pay big subsidies to those that are just minimising tax? This invidious scheme has locked homeownership out of the question for increasing numbers of Australians.

These people do N O T H I N G to earn the subisidies (income tax and capital gains tax subsidies.)

You talk of businessmen earning subsidies: what bullshit, when I was rescuing my first business that was almost destroyed by my then business partner I not only got no subsidy I had to pay $1000/month to pay of overdue tax.

You do not know what you are talking about, FD. You only try to make a point with your question which is a gross misstatement of what happens! These people make no loss—they still get their inflated wages + bonuses etc and merely try to reduce income tax by claiming interest etc on buying an established dwelling, then pay stuff all capital gains tax later.

Meantime, because of this lurk, this subsidy, ordinary Australians are increasingly locked out of home ownership. Stuff that, get rid of negative gearing and charge capital gains tax on the gains made selling the existing dwelling!

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freediver Gold Member Offline www.ozpolitic.com Posts: 53405 At my desk.	Re: If they are hell bent on keeping negative gearing. Reply #186 - Jun 30^th, 2023 at 6:03am I don't think it is a subsidy. You would understand why if you could give a straight answer to this question. Do you think it is a good idea for the tax department to send people bankrupt by giving them a huge tax bill in a year in which they actually lose money?
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Jovial Monk Gold Member Offline Dogs not cats! Posts: 51474 Gender:	Re: If they are hell bent on keeping negative gearing. Reply #187 - Jun 30^th, 2023 at 6:04am Of course it is a subsidy. You know nothing about this, obviously.
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freediver Gold Member Offline www.ozpolitic.com Posts: 53405 At my desk.	Re: If they are hell bent on keeping negative gearing. Reply #188 - Jun 30^th, 2023 at 6:15am Do you think it is a good idea for the tax department to send people bankrupt by giving them a huge tax bill in a year in which they actually lose money?
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John Smith

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Re: If they are hell bent on keeping negative gearing.
Reply #189 - Jun 30^th, 2023 at 8:10am

Jovial Monk wrote on Jun 30^th, 2023 at 6:04am:

Of course it is a subsidy. You know nothing about this, obviously.

No. it's not a subsidy. No more so than claiming work boots or uniforms as tax deductions. Our whole tax system is based on being able to deduct expenses from your income. Interest is just another expense

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Our esteemed leader:
I hope that bitch who was running their brothels for them gets raped with a cactus.

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Jovial Monk

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Re: If they are hell bent on keeping negative gearing.
Reply #190 - Jun 30^th, 2023 at 8:30am

Well, we can agree to differ on that: I think of it as a subsidy to investors that is depriving more and more Australians from owning their own home.

The interest paid, the loan taken out, are done to minimise PAYE by wealthy people looking to dodge tax. The loss that FD keeps rabbiting on about is not a real loss—he still has his main income from working.

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Lisa Jones Gold Member Offline Australian Politics Posts: 39047 Sydney Gender:	Re: If they are hell bent on keeping negative gearing. Reply #191 - Jun 30^th, 2023 at 8:36am 👆 Absolute ignorance!
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Jovial Monk Gold Member Offline Dogs not cats! Posts: 51474 Gender:	Re: If they are hell bent on keeping negative gearing. Reply #192 - Jun 30^th, 2023 at 8:46am Except I owned parts of 3 investment properties. Real ones, not your imaginary ones. The stats about the real and large increase in renters are real,too. Homebuyers do not get a subsidy except if they sell they may be able to pay low capital gains tax—but that is not a subsidy to purchase.
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Lisa Jones Gold Member Offline Australian Politics Posts: 39047 Sydney Gender:	Re: If they are hell bent on keeping negative gearing. Reply #193 - Jun 30^th, 2023 at 8:47am Lisa Jones wrote on Jun 30^th, 2023 at 8:36am: 👆 Absolute ignorance!
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Jovial Monk Gold Member Offline Dogs not cats! Posts: 51474 Gender:	Re: If they are hell bent on keeping negative gearing. Reply #194 - Jun 30^th, 2023 at 8:47am Mr Brain Dead is at it again, repetitive posting. Proof of a severely limited mind. I guess it is the drugs but he may have been born learming impaired, i.e. stupid.
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