Transfer of Residential Rental Property from Trust to Company

Question

 I have a client who bought a residential property on 20.01.2017 This was their holiday home. They bought it under their Family Trust. They want to transfer this property to their Limited Company and rent it out.What would be the tax implications ?

Answer

 The property should be sold by the Family Trust to the company at market value. The brightline test will not apply as the two year period has now passed.

The company would need to pay tax on any net income earned on the property.