Tax on Positive Cash Flow Property Explained

How does tax work with positive cash flow properties and how is it possible to have a positive cash flow property and not pay any tax on the income.

While I’m not an financial advisor I explain the main concepts behind how this works in todays video.

In short:

Rental income – expenses – depreciation = profit/loss

Profit or loss is then added or subtracted to your taxable income.

0:00 – Introduction
0:48 – What is positive cash flow?
1:20 – How does tax on positive cash flow work
2:48 – How depreciation affects the tax you pay

Recommended Videos:

How Depreciation Affects Capital Gains Tax (Ep115)

Positive Cash Flow Explained Simply (with Pen and Paper)

Negative Gearing Explained Simply (with Pen and Paper)

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