Until the 2011 General Conditions are updated you will need a special condition in contracts for sale where the contract is made on or after 1 July 2016 unless the sale price is below $2 million.
The Law Society of NSW and the Real Estate Institute of New South Wales have already updated that state's edition of the Contract for Sale and Purchase of Land with a new clause to deal with this measure.
Under the measure, where the market value of the property is $2 million or more, the buyer is obliged to comply with a foreign resident capital gains withholding payment obligation ( even if the seller is not a foreign resident) unless the seller provides a clearance certificate from the ATO.
We have developed a special condition for the purpose of dealing with the measure.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
