strategy two protected share investments tax planning strategies for 2015
TRANSCRIPT
STRATEGY TWO
Protected Share Investments
Tax PlanningStrategies for 2015
Protected Share Investments
Big tax refunds for prepaid interest for a capital protected share portfolio
(with NO cash required by 30 June)
Tax PlanningStrategies for 2015
Why is this important?
Apart from the usual general tax planning strategies (eg. incur business expenses prior to 30 June to claim a tax deduction this financial year), there are only 2 main ways to reduce your tax:
1. Increase superannuation contributions; and2. Prepay interest on borrowings for investments before 30 June.
We will focus on this second item.
Tax PlanningStrategies for 2015
Using Tax Money to pay for your Share Portfolio!
Here's how this strategy works…
Tax PlanningStrategies for 2015
$50,000 Shares
Prepay Interest
100% Capital Protection
Tax refund
Tax PlanningStrategies for 2015
You cannot lose your Capital!
Example…
If you use a capital protected share investment, your shares are 100% protected. This means that if the share market goes down, you don't lose any capital, and your shares go up in value, you keep all of the upside.
Tax PlanningStrategies for 2015
So what sort of shares do we use in these sorts of investments?
• We look for blue chip share opportunities
• A good strong consistent company like BHP & ANZ
• Has good growth potential BUT can pay consistent dividends
Tax PlanningStrategies for 2015
In summary…
Instead of paying some tax, you can use this money to prepay interest on a loan for shares with full 100% capital protection for the shares.
Tax PlanningStrategies for 2015
Your Action Plan!
Contact Success Accounting Group TODAY on (03) 9583 0550 to
implement this strategy before 30 June and save tax!
Tax PlanningStrategies for 2015