New Commonwealth reporting requirements for transfer of NSW property
29/06/2016
From 1 July 2016, the NSW Office of State Revenue (“OSR”) will report to the ATO information in relation to any transfers of freehold or leasehold interests of real property situated in NSW.
As part of its report, the OSR will not only collect information regarding the property but also transactional information (such as purchase price) and identity information of both the transferor/vendor and transferee/purchaser.
These new reporting requirements will assist the ATO to ensure that all parties to a transaction are complying with federal taxation laws.
How does that impact you?
As an Australian transferor/vendor, you will need to provide the following:
- a current Land Tax Clearance Certificate (also known as a section 47 Certificate) to the purchaser (this certificate is obtained by lodging an online request through a client service provider);
- your date of birth (individuals only);
- name of trust (if applicable);
- your country of tax residence and country of citizenship; and
- your contact information.
As an Australian transferee/purchaser, you will need to provide the following:
- original or certified copies of identity documents for each individual;
- purchase price/consideration payable for the transfer;
- value amount;
- amount of GST payable (if any);
- your country of tax residence and country of citizenship;
- your contact information; and
- if a company: country of incorporation, ABN/ACN & ARBN and organisation number.
The requirement for individual purchasers/transferees to submit a copy of their identity documents is not new as the OSR has been collecting this information for some time in accordance with its client identification requirements. If the conveyancing document displays the ABN, ACN or ARBN for the transferee company, no further documentation is required.
For further information, please contact Townsends Business & Corporate Lawyers on (02) 8296 6222.