Taxable Australian property
Taxable Australian property includes:
- a direct interest in real property situated in Australia or a mining, prospecting or quarrying right to minerals, petroleum or quarry materials in Australia
- a CGT asset that you have used at any time in carrying on a business through a permanent establishment in Australia
- an indirect Australian real property interest, which is an interest in an entity, including a foreign entity, where you and your associates hold 10% or more of the entity and the value of your interest is principally attributable to Australian real property.
Taxable Australian property also includes an option or right over one of the above.
For CGT events happening on or after 20 May 2009, a leasehold interest in land situated in Australia is 'real property situated in Australia'.
If you are a foreign resident, or the trustee of a trust that was not a resident trust for CGT purposes, and:
- you acquired a post-CGT indirect Australian real property interest before 11 May 2005
- that interest did not have the necessary connection with Australia but is taxable Australian property
we treat it as though you acquired it on 10 May 2005 for its market value on that day.
For help applying this to your own situation, phone 13 28 61.
Information about the tax consequences of going overseas while retaining property in Australia including current capital gains tax (CGT) laws.