Changes to GST Withholding for Residential Properties
On 1 July 2018, amendments were made to the way GST on the sale of some new residential property is paid to the Australian Taxation Office.
In this video John Gallagher from Argon Law discusses these changes and how they impact on residential conveyancing.
On 1 July 2018, changes to the Withholding Law under the Tax Administration Act came into effect. These amendments change the process under which GST is paid to the ATO on the sale of:
- newly built residential properties;
- vacant land in residential subdivisions; and
- long-term leases for newly built residences.
These changes were introduced as part of a wider crackdown on phoenix activity amongst corporate property developers who wind up their companies after all of their sales are finalised, but before their BAS is lodged or paid to the ATO. What do these changes mean for residential conveyancing?
Read our detailed article to find out more.
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