Johann recently immigrated to Australia and was advised by a financial advisor, Dodgy, Sharp & Moore, to invest in a sandalwood plantation scheme so that he can claim large upfront tax deductions. The scheme is unlikely to be successful as it involves very large management fees, non-recourse loans and the sandalwood will not produce any income for at least 7 years. How could this arrangement be described for tax purposes?

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The Answer of Johann recently immigrated to Australia and was advised by a financial advisor, Dodgy, Sharp & Moore, to invest in a sandalwood plantation scheme so that he can claim large upfront tax deductions. The scheme is unlikely to be successful as it involves very large management fees, non-recourse loans and the sandalwood will not produce any income for at least 7 years. How could this arrangement be described for tax purposes?

Johann Recently Immigrated to Australia and Was Advised by a Financial