Show download pdf controls
  • Properties that are included and excluded

    You need to determine if GST at settlement applies when selling or purchasing property.

    Included property transactions

    Withholding may apply if you purchase or sell:

    • new residential premises    
      • house and land
      • off-the-plan
      • display homes
      • new apartments
       
    • potential residential land    
      • property subdivision plan
      • land that could be used to build new residential premises.

    Excluded property transactions

    Some property transactions are excluded from the withholding obligation. Withholding doesn't apply to:

    • new residential premises created through substantial renovations
    • new commercial residential premises (for example, hotels, boarding houses, caravan parks)
    • commercial property
    • residential premises that're no longer new because they have previously been sold (or subject to a long-term lease) or have been continuously and solely rented for more than five years
    • potential residential land supplied to a GST registered business that acquired it for a creditable purpose for example, to develop the land, construct and sell new residential premises.
    • potential residential land that contains a building that is currently in use for a commercial purpose (for example, a factory or shop being operated in an area where local zoning permits mixed use)

    If you're selling a family home you may also be excluded from the withholding obligation.

    See also:

    Transitional arrangements

    Transitional arrangements apply to contracts entered into before 1 July 2018.

    See also:

    Return to:

     

    Authorised by the Australian Government, Canberra 

      Last modified: 22 Oct 2019QC 55431