Will land sold a second time be applicable to GST?

Question

 · Accepted Answer

AnitaATO · Answer

Hey , The sale of any property comes down to the client and their intentions and if they're running an enterprise (https://www.ato.gov.au/Business/GST/In-detail/Your-industry/Property/GST-at-settlement---a-guide-for-suppliers-and-their-representatives/?=redirected_calc_RunningEnterprise&page=2). If they're running an enterprise they're registered or required to be registered for GST, then GST will be applicable to the sale. If they aren't then GST may not apply. Sometimes a one-off transaction can be classed as running an enterprise. This can be if the supplier has purchased the land with the intention of immediate re-sale at a profit. The GST property decision tool (https://www.ato.gov.au/Calculators-and-tools/Host/?anchor=GSTProperty&anchor=GSTProperty&anchor=GSTProperty/questions#GSTProperty/questions) can help you with deciding if GST will apply to different scenarios when selling property. You can also read more about GST at settlement (https://www.ato.gov.au/business/gst/in-detail/your-industry/property/gst-at-settlement/) on our website.

Explore tax & super topicsExplore tax & super topics

About usAbout us