Div 293, first-home rules and the SMSF property crackdown

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Australian Finance Podcast 47 min 2 speakers 5 chapters transcribed 1 month ago
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Owen Rask 0:00
And this is what the government doesn't want you to know is because they're not actually giving you proper tax cuts, no matter who you are, you're actually just paying more and more and more tax because the price of mainland cheese has gone up like a gazillion percent since 2008. I know because I eat it like a freak. Everything in our lives has got more expensive, but the government hasn't actually given us tax breaks. Welcome to the Australian Finance Podcast by Rask. Together, we will improve your relationship with money, discover the world of investing, save more money, and design the life you want. Please don't forget to subscribe to the show on Apple, Spotify, YouTube, or wherever you get your podcasts because we share at least two wonderful episodes every week.
Owen Rask 0:45
You should know that our favorite episodes drop on a Monday and a Friday with bonuses on Wednesdays. Finally, to hear more from us and get show notes and all those other wonderful things like free courses, head to rask.com.au to find us online. Welcome to this episode of the Australian Finance Podcast, where we're going to be talking about Div 293. What the heck is that? Why does it matter? It matters to some people. We're going to talk about tax rates. We are talking about property. Someone's going to try and do an upgrade and they're thinking, what does the budget mean? If I've got my first home, should I not sell it and then do something else? We've also got people here who are buying their first home and they say that they're both 25.
Owen Rask 1:28
Do they buy it together or separately because of the schemes and the rules and such? And finally, a bit of tax reporting there. Now, let's start off somewhere probably more casual than that, Gem. How do you pronounce my T-shirt?
Gemma Mitchell 1:40
Oh, it depends. I'd say faux.
Owen Rask 1:44
Faux. Yeah, okay. So it's not faux. What the faux is the t-shirt that I've got on today? Now it's probably tax deductible, so I can add that to my tracker. Not really. But yeah, I am wearing a bit of a fun t-shirt today.
Gemma Mitchell 1:55
How would you say it?
Owen Rask 1:56
Well, I'd say pho because I'm too scared to say pho, which is what all the fancy people from like northern suburbs of Melbourne or like people that have some inclination of Vietnamese culture might say, pho, whereas other people might say pho. Poe. Poe. Yeah. Anyway, today we're talking about a few different things. And normally we just do a quick catch up on our weeks and how those have been. It's been a while since I've seen you. So it's really good to see you in person. You've been pretty busy lately. I don't know if I'm allowed to say what you've been working on. What have you been up to?
Gemma Mitchell 2:30
Um, no, I've been really busy. Uh, good to be in the actual studio here this week. Uh, we have wrapped up the series with Christian Hull, which I recorded just before this and I still kind of have the giggles. It was such a funny episode that I am still laughing about. So that was, yeah, that'll be going out around the same time this podcast will. So that was really fun. And yeah, just lots of stuff, lots of stuff happening.
Owen Rask 2:55
Yeah. We've been doing some interviews here at RASC. And interestingly, one time Gemma went on a date here in Melbourne. You went to a place that was like really fancy, right? Well, it turns out one of the staff members that are there is applied for the job. She was like, I wonder if I saw Gemma come through. I was like, oh, I don't know, maybe. But there is a very fancy restaurant here. There are many fancy ones. And how much is too much to spend on a first date?
Gemma Mitchell 3:26
So that was an $800 dinner, which is ridiculous for a first date. I did not pay for it. And I did not even offer. So my go-to is always Let's Go Halves. And I was like, absolutely not. Obviously, you've picked this because you can afford it. Everybody knew him there. So it wasn't the first date he had taken there.

What is Div 293 tax and why does it matter for high-income earners?

Gemma Mitchell 3:46
It was very show pony-ish. And I was like, I'm definitely not offering to pay half of this. It was ridiculous. But it was very nice. But thanks for the steak. Yeah, and now I tell everybody about it.
Owen Rask 4:00
Yeah, you be warned if you're going to take Gemma to a very fancy joint.

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