: Because a company is a separate legal entity, your personal assets (like your family home) are generally shielded if the company faces legal action or financial trouble.
: Rental income is taxed at the flat corporate rate (25% for base rate entities or 30%), which is often significantly lower than the top personal marginal tax rate of 47%. how to buy a house with an llc
: It is often simpler to transfer ownership of a company (via shares) to family members than to transfer a physical property title. Key Drawbacks and Costs : Because a company is a separate legal
: You cannot claim the main residence exemption if you live in the house; the company will still be liable for CGT. Key Drawbacks and Costs : You cannot claim
Buying a house through a company (often referred to as an LLC in a global context, but typically a company in Australia) is a strategic move often used for asset protection and tax efficiency for high-income earners. While it separates your personal risk from the property, it also comes with stricter lending requirements and the loss of common personal tax exemptions. Core Benefits of Company Ownership