Supplier credit and email confirmation
The credit for the amount withheld is allocated to your GST property credit withholding account. If there are multiple suppliers, the credit is the equivalent proportion of the withheld amount.
Viewing GST property credits
Once the purchaser has paid the withholding amount, it's credited to your GST property credit account. We send an email confirmation to the email address on your activity statement account. The email includes identifiers for the property transaction and confirms the credit has been received.
You can view the GST property credit account in:
- ATO online services for individuals and sole traders
- Online services for agents
- Online services for business.
To view the GST property credits account select:
- Activity statements in the menu
- GST property credits hyperlink on the Activity statement list screen.
Check the credits available before you lodge your activity statement.
If a credit isn't showing two weeks after settlement or you identify the credit has been allocated to the incorrect entity, you should contact us.
Find out How to submit a missing credit or transfer request.
What to report on your activity statement
The GST liability on the taxable supply remains with you. There are no changes to what you report on your activity statement.
Reporting
Report the taxable supply together with:
- any other supplies
- acquisitions
- GST liabilities
- GST input tax credits.
Completing your activity statement
You are liable for the GST of the property transaction in the period that settlement occurred. You need to report:
- label G1 Total sales – all property sales
- label 1A GST on sales – the actual GST on sales and account for the margin scheme if applicable
- label 1B GST on purchases – the total amount of GST credits (including any adjustments) the supplier is eligible to claim.
Don’t report the GST property credit on your activity statement.
After lodging your activity statement, a credit for the withholding amount is transferred from the GST property credit account into your activity statement account and can be applied against the net amount.
We will refund surplus credits from the activity statement account to you, subject to normal GST refund processes.
If you make an error on your activity statement, including incorrectly reporting or omitting property sale information, you must amend it to avoid penalties.
For more information see Completing your BAS for GST.
Margin scheme
The margin scheme enables GST to be calculated on a concessional basis. The rules depend on when a property was first purchased.
Only apply the margin scheme if the sale of a property is taxable and ensure it's written in the contract.
Generally, the GST is based on the difference between:
- the price the you paid for the property when you first purchased it
- the subsequent sale price of the property.
See also: