Attention sales agents! Are you clear about your responsibilities? Really clear?
On 1st July 2016 Australian residents selling real estate with a market value of $2 million or more have new responsibilities. They must apply for a clearance certificate from the Australian Tax Office (ATO). If a valid certificate is not provided by settlement, then the purchaser is required to withhold 10% of the purchase price and pay this to the ATO.
Can you answer all of the following questions?
- How is an Australian resident defined? (CLUE - it is not the same as for immigration purposes, or for the Foreign Investment Review Board)
- How long is a clearance certificate valid for?
- Who can apply for one?
- How do you apply for one?
- How long does the process take?
- What happens if you don’t have a valid clearance certificate by day of settlement?
- If the vendor is not entitled to a clearance certificate, are there any other circumstances under which the tax may not be payable?
- When is the tax paid, and by whom?
- What if the property is selling by auction and may sell for over $2 million?
This webinar will give you all the answers, ensuring your sale goes smoothly.
Meet the Presenters
Diane Skapinker is a partner in the real estate group of K&L Gates, a major law firm.
She is a member of the NSW Law Society's Property Law Committee, and a member of the subcommittee that drafts the NSW contract for the sale and purchase of land.
Diane was formerly an Associate of Law at the University of Sydney where she lectured in Real Property, Equity and Conveyancing. She is the co-author of the 5th edition of Sale of Land in NSW.