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Mike.A(I'm new)Registered Tax Professional
8 Apr 2026

I have a client who is a Non-Resident and owns property in Australia. If the client sells an option to a third party for the third party to buy my clients Australian Real Property at a future date and agreed price, is the sale price of that option by the Non Resident subject to Tax in Australia? 

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21 views
1 replies

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YellowPotato(Taxicorn)Taxicorn
8 Apr 2026

i think so


"Taxable Australian property includes:

  • Australian real property, such as a house, apartment, commercial building or land
  • an indirect interest in Australian real property
  • a mining, quarrying or prospecting right in Australia
  • a CGT asset that you have used to carry on a business through a permanent establishment in Australia
  • an option or right over one of the above – for example, a contract to purchase property off the plan."


https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/foreign-residents-and-capital-gains-tax/taxable-australian-property

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Is sale of an option by a non resident subject to tax in Australia? | ATO Community