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  • GST at settlement – getting it right

    Since the introduction of GST at settlement on 1 July 2018, we see a number of common errors made on forms submitted by property purchasers and their representatives. This is often the result of incorrect supplier notifications.

    Supplier details

    If your clients supply residential premises or potential residential land they may be required to notify purchasers in writing to tell them if they have a withholding obligation or not.

    The supplier is the entity that is liable to pay the GST on the supply. The supplier can be an entity other than the vendor named on the contract of sale, or on the certificate of title. The notification of the supplier details is contained in the sale contract or via separate notification.

    Where your client is a member of a GST group, a partnership or a trust, they must provide purchasers with the ABN and name liable to pay the GST to include on the forms.

    Remind your clients to check the supplier details are correct. This will prevent processing delays in your client receiving their property credit.

    Property settlement forms

    If there is a withholding obligation, purchasers or their representatives are required to submit two online notification forms. Remind your clients to submit a:

    1. GST property settlement withholding notification any time after they enter into the contract and they have received written notification from the supplier. They can submit the form any time up until the due date for payment of the withholding amount.
    2. GST property settlement date confirmation on or just before the date of settlement, to confirm that settlement has occurred.

    Changing details on submitted forms

    To prevent processing and payment delays, let your clients know if they need to change details on submitted forms, the purchaser or their representative should phone us on 13 28 66.

    See also:

    Last modified: 19 Mar 2019QC 58305