Addicted to music Posted February 14 Posted February 14 FYI, From 1/1/2025 this is now the requirement for all vendors selling property in Australia. . It use to be for foreigners and anything over $750k. Since the beginning of this year the ATO requires ALL vendors including Australian residence to apply for this certificate, this includes everyone on the title of the property you wish to dispose of. If you don’t apply and present this to the buyer on settlement, there is a 15% withholding on the total agreed price which the ATO keeps until you do a tax return. 2ndly to get this certificate is relatively easy, log onto the ATO site to do this and no other as this is a free service. Any other website has a charge. You then enter all your details including TFN and upload the section 32 documents that’s prepared via a conveyancer or a solicitor usually in PDF format. once completed the certificate is then sent to the email address you that is required when entering the details. https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/foreign-residents-and-capital-gains-tax/foreign-resident-capital-gains-withholding/australian-residents-and-clearance-certificates#ato-ClearancecertificatesforAustralianresidents 2
Kaynin Posted February 15 Posted February 15 (edited) I sold one in Sept. 2024 and had to get one of these. It came through really fast, no longer than the next day, but you don't want to forget it. Your conveyancer/solicitor should tell you anyway. Interesting to see that it's for all properties now. EDIT: just checked, it took 2 days to come through. Edited February 15 by Kaynin 2
Addicted to music Posted February 15 Author Posted February 15 30 minutes ago, Kaynin said: I sold one in Sept. 2024 and had to get one of these. It came through really fast, no longer than the next day, but you don't want to forget it. Your conveyancer/solicitor should tell you anyway. Interesting to see that it's for all properties now. EDIT: just checked, it took 2 days to come through. I applied on line, within five minutes I received an email to acknowledge the application and it gave me a reference number for tracking, a few minutes after I got the certificate all within 15mins of logging on and filling out all the fields satisfying all requirements. Painless really but most don’t know this. Even my Solicitor wasn’t aware of the changes. But because mine was sold in December this new rule didn’t apply because the figure was way under $750k. This is why I’m posting it here, for the ATO to keep 15% can have a major impact on what you plan to do with the money. 3 1
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