Sale Checklist

Sale Checklist

Client Details

You must select 'Yes' to either Are one or more Purchaser(s) a Natural Person? or Are one or more Purchaser(s) an Organisation?

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Section

Individual(s)

Foreign resident capital gains withholding

Foreign resident capital gains withholding (FRCGW) applies to vendors disposing of certain taxable property under contracts entered into from 1 July 2017 where the contract price is $750,000.00. The FRCGW tax rate will be 12.5% and is withheld by the purchaser at settlement and remitted direct to the ATO.

What is a Foreign Natural Person or Foreign Entity?

You are a foreign entity if you are a foreign natural person, a foreign corporation or a trustee of a foreign trust.

  • Foreign natural persons – you are a foreign entity if you are not;
    • A citizen or permanent resident of Australia,
    • A New Zealand citizen with a Special Category Visa (Subclass 444)
  • Foreign corporations – a foreign corporation includes;
    • Corporations incorporated outside Australia
    • Corporations incorporated in Australia if a foreign natural person, another foreign corporation, or a trustee of a foreign trust has a controlling interest in those corporations.
  • Foreign trusts – a foreign trust is a trust where a foreign natural person, foreign corporation or trustee of another foreign trust, has a substantial interest in the trust estate of that trust. A substantial interest is defined as more than 50% of the capital estate of the foreign trust and/or has the capacity to determine or influence the outcome of the decisions about the administration and conduct of the trust.
(if applicable), from your application to purchase the property

Section

Vendor Organisation Details

Foreign resident capital gains withholding

Foreign resident capital gains withholding (FRCGW) applies to vendors disposing of certain taxable property under contracts entered into from 1 July 2017 where the contract price is $750,000.00. The FRCGW tax rate will be 12.5% and is withheld by the purchaser at settlement and remitted direct to the ATO.

What is a Foreign Natural Person or Foreign Entity?

You are a foreign entity if you are a foreign natural person, a foreign corporation or a trustee of a foreign trust.

  • Foreign natural persons – you are a foreign entity if you are not;
    • A citizen or permanent resident of Australia,
    • A New Zealand citizen with a Special Category Visa (Subclass 444)
  • Foreign corporations – a foreign corporation includes;
    • Corporations incorporated outside Australia
    • Corporations incorporated in Australia if a foreign natural person, another foreign corporation, or a trustee of a foreign trust has a controlling interest in those corporations.
  • Foreign trusts – a foreign trust is a trust where a foreign natural person, foreign corporation or trustee of another foreign trust, has a substantial interest in the trust estate of that trust. A substantial interest is defined as more than 50% of the capital estate of the foreign trust and/or has the capacity to determine or influence the outcome of the decisions about the administration and conduct of the trust.
(if applicable) from your application to purchase the property

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