SMSF - Change to Corporate Trustee ..., 52548642, page-10 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum

Originally posted by Cazzex: ↑

Thank you @Tickety Boo ... glad you were motivated to act, albeit contacting your accountant thus far, from my enquiry. It’s interesting, in an earlier phone call to the broker firm, in response to a statement made during the conversation, I had a line of angst following my asking a resultant question at the time ... changing to corporate trustee doesn’t trigger a CGT event does it?!? The response was that he didn’t ‘think’ so. Accountant said ‘shouldn’t’ as you are not changing the actual ownership. Words such as ‘think’ and ‘shouldn’t give me no confidence when enquiring about any such matters. I’m wondering what happened to ‘no’. Somehow, I don’t think telling the ATO that I ‘think’ I did the right thing would quite cut it.

At least you have land ‘inside’ your SMSF ... we hold a unit ‘outside’. It’s in an area where prices have fallen (of course!) and we have reduced the rent due to COVID (despite the tenant not being directly affected ... the potential of losing 15 odd year good paying tenant was the catalyst). It hasn’t risen to the dizzying heights in value should it have been located elsewhere. Something else we need to address when we see some blue sky.

I have spent a while reading the article in your link and despite being ‘largely irrelevant’ there are certainly words of wisdom that can apply to anyone. Imo this article would be a gold standard for anyone in the farming community and despite being written for this sector, there is a lot of general information within. I will comment more fully when I get time as my Sunday is getting away from me and I need to be making a lot of headway each and every day, which I have difficulty achieving.

Happy Sunday ... I hope the sun is shining brightly over your farm today and less literally, may the sun shine over you and yours. Mmmm ... not sure whether parts of the Country are still in drought ... such is our media; if you are needing rain, then my sun comments might not be the best choice of words.

Cheers ...
Cazzex

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For what it's worth, we had a terrible drought last year, and racked up a pretty significant loss. One of the many joys of farming which they say breeds character, but I'd rather have the money any day.
When I started farming, I had bought a property and then leased my parents land as well, ran into a good year then 8 years of droughts, locust and mice plagues, worked full time off farm, kept buying more land (viewed it like playing monopoly -buy up asap at the start, despite interest rates being 16.8% at the initially). When drought assistance was available, I was refused as I was making 'too much' money off-farm, while a lazy neighbour got massive financial assistance and took his family to Bali etc. That bit still smarts, especially given I worked a bigger property than him and tried to do the right thing, nearly killed me though but that's what we all do when trying to get a foothold.
Many more setbacks (some near crippling) ambushed efforts, but I held my long term view and committed without questioning. I guess the truth is, I simply didn't have time to think otherwise. There were times I'd get home from work, sit on the header/tractor till 2 am, get some sleep, then off to work at 7:30, repeat, repeat...

My point is, I know things are tough for you at the moment, but it's just like what Confucius said -'a long journey starts with one step', just keep plodding one step at a time, calculate the risks as best you can, and keep an eye on the end point.

Unless, of course, you are lucky enough to have parents who gift you a farm or fortune and your life consists of arrogant red neck views of self importance and a delusional sense of hubris. Is my bias obvious? This country needs to tax the crap out of the 'haves' and back ANYONE who has entrepreneurial aspirations/efforts. In the USA, conversations around successful people centre around "well, how many times did you fail before you made it?" In Australia, we (often) label anyone who has failed in business as a failure, whereas I think these are often the bravest and certainly can be a valuable resource. On a related viewpoint, I used to hate the yanks culture of tipping, but when I saw it first hand, I came to realise it is a culture that recognises effort, and tipping is like a part of the learning curve.

Thats enough ranting. Re-iterating, hang in there, and all the best