Real Ways for Small Business

Joint house deal goes sideways

Question: I purchased a home as tenants in common with a friend. I paid more than $40,000 down and my friend paid nothing down.

My friend is listed as the “borrower” on the loan and I’m the “co-borrower.” We have been splitting the monthly mortgage payments.

Now, we are at odds with each other. My friend has moved out and wants to sell the property. Since the housing market has slowed down, the house is worth less than we paid for it, so there is no chance of selling it for enough to recover my down payment after selling expenses.

I have offered to buy out her equity in exchange for a quit claim deed. She has rejected my offer, contending that a quit claim deed will not release her from the mortgage obligation. I think it will.

Answer: First of all, your friend is correct. Read all post…

Pay your taxes, or else

The government will soon implement stringent measures to clamp down on tax defaulters, Finance Minister Pravin Gordhan said on Sunday.

Launching the South African Revenue Service (Sars) compliance programme in Pretoria, Gordhan said that although overall tax compliance had improved, the trends required constant monitoring.

“Sars will continue to widen the base of people who are within the tax bracket through constant innovations to ensure that all who should be part of the tax system are part of it,” he said.

“Research has identified particular areas in our economy and in our tax system posing higher risks of non-compliance.”

Both small and major players in the construction industry were among the major defaulters, said Sars commissioner Oupa Magashula.

“Those people who are not compliant, we know who these people are [and are] going to do something about it,” he said.

“The message today is: talk to us before we talk to us. Read all post…