House of Representatives

Treasury Laws Amendment (2018 Measures No. 1) Bill 2018

Explanatory Memorandum

(Circulated by authority of the Minister for Revenue and Financial Services Minister for Women Minister Assisting the Prime Minister for the Public Service the Hon Kelly O'Dwyer MP)

GST does not apply to the sale of residential property that is not new, which are input taxed instead.

For example, as outlined below, vendors can elect to use the 'margin scheme' for the sale of certain new developments for GST purposes.

See the explanation under Option 1 for the rationale behind calculating compliance cost impacts. Since Option 2 maintains the status quo it is expected that there is no further compliance cost impact for this option.

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