Estate Planning: Holiday Houses
New Zealand Law Journal, Vol. 92, 1977
3 Pages Posted: 16 Dec 2009
Date Written: 1977
Abstract
In order to avoid holiday houses being bought into the notional estate by either section 11 or 12 of the Estate and Gift Duties Act 1968 many lawyers recommend alienating the property to a discretionary trust and leasing it back to the original owners. This technique results from a misapprehension of the law and is liable to result in detrimental tax consequences. A better option would be to simply sell the house to a family trust.
Keywords: Estate Planning, Estate and Gift Duties Act 1968, Renting from Trusts
JEL Classification: K34
Suggested Citation: Suggested Citation
Prebble KC, John, Estate Planning: Holiday Houses (1977). New Zealand Law Journal, Vol. 92, 1977, Available at SSRN: https://ssrn.com/abstract=1522956
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