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Buying listed shares in a company?

I know, I know… This is a stupid idea as you lose the CGT discount…

But remember that the discount could be 25%, not 50%, if there is a change in Government in May. And the highest marginal tax rate goes to 49% if there is a change in Government. And some companies will have a tax rate of as little as 25% in a few years time…

So, if all this happens will it ever be better to buy shares in a company than in your own name?

In the attached document I compare buying shares that have a fully franked 6% yield and 3% capital growth where you reinvest the dividends each years for 5 years, first in your own name and then a company… And the company wins… Including paying out the amount to the individual.

I never thought it would be so close.

Idea

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If I don’t exist you can’t tax me…

In country Victoria, when they get caught for not lodging tax returns, they try (and fail) to avoid having to do so by arguing they do not exist.

Has he ever heard of “Cogito, ergo sum” (I think therefore I am) from RenĂ© Descartes. Maybe he should have said “Cogito ergo uectigalis” (I think therefore I pay tax. But my Latin is a bit rusty…

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