GST and Property - does it affect you?
Monday 01st November 2010
Many people are actually carrying on an enterprise when making property transactions but do not register for GST when they are required to do so. Even with a ‘one-off’ transaction you may still be required to register for GST because your one-off property transaction may be an ‘enterprise’.

If you are dealing with property (for example you buy, sell, lease or develop), you may be considered to be conducting an enterprise. If your turnover from these activities is more than the GST registration threshold, you may be required to register for GST.

When you sell a property, the sale must be either:
  •  taxable – this means you are liable for GST on the sale and you can claim GST credits for anything you purchase or import to make the sale (subject to the normal rules on GST credits)
  • GST-Free – this means you are not liable for GST on the sale, but you can claim GST credits for anything you purchase or import to make the sale (subject o the normal rules on GST credits)
  •  input taxed – this means you are not liable for GST on the sale and you cannot claim GST credits for anything you purchase or import to make the sale
  •  mixed – this is a combination of any of the above.
Click here to download the ‘GST and property’ booklet produced by the ATO.

Always seek professional advice from a registered Tax accountant to ensure you meet your obligations and requirements when buying or selling.


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