We all have a rich uncle or inlaw and in my case his name is Con, he's a successful business man and a wealth of knowledge contacts and experiance, given the chance I run pretty much every important decision regarding money by him.
Con's got my best interests and future in mind so I'm lucky, he's also a s708 exempt investor, which basically means he is wealthy and his accountant says so. It also means he gets the 200k ESIC rebate not the $10k normal retail investors get (all things equal).
Con's been good enough to let me 'in on' a few of his investments and by and large I can't complain.
So what's the point, well it's unsefull to note that Con and I used an trust structure for our investments, better asset protection, planning and flexibility. Well now we are looking at ESIC's we'll probably use that vehicle as well.
So what gives? The 200k or the 10k threshold? And what happens when you are investing in a less family way?
We looked it up, and it seems that Con as trustee sets the rule, i.e. He's exempt to the trust gets a 200k rebate threshold, which is a relief as I'd be out of the loop otherwise!
The moral or the story! Stick with the pro's and you'll avoid the con's (unless they are one and the same),
Pro's and Con's
2017-11-21 13:02:34
Published By: Tom